Angry Customers Lodge 3,500 Complaints a Month

Tens of thousands of angry consumers who have lodged complaints with the Energy Ombudsman should vote with their feet and switch suppliers, according to the Energy Advice Line.

Julian Morgan, managing director of the price comparison, switching and advice service, said even though vast numbers of consumers were angry at their treatment by suppliers, too few of them took their business elsewhere.

According to new figures, the Energy Ombudsman received at least 3,500 complaints each month in 2014 from consumers with the main gripes involving bills, disputed charges and inaccurate meter readings.

“Complaints against consumers are higher than ever, yet the vast majority of consumers still don’t switch suppliers,” Mr Morgan said.

“It’s great to see consumers lodging complaints with the Ombudsman, but they also need to hit suppliers where it hurts and take their business elsewhere.

“It really is really the only way the big suppliers will ever improve their service.”

The new figures show that consumer complaints against suppliers tripled in the past year, with 47,731 lodged in the 11 months to November compared to 16,155 for the same period in 2013.

In the month of November, almost 4,400 complaints were about bills, including 737 grievances about inaccuracies. Other billing complaints involved no bill being received and disputed charges. Inaccurate meter readings also accounted for a large proportion of complaints.

While the number of complaints relating to switching suppliers fell in November, the top grievance related to switching requests not being acted on.

But Mr Morgan said that using a reputable and independent switching service like the Energy Advice Line saved consumers the hassle of having to deal with supplier inaction themselves.

“Switching has become easier and these figures reflect that, “ he said.

“In terms of suppliers not acting quickly enough, or failing to action the switch request, we handle this whole process so consumers don’t have to deal with these problems.

“I know many consumers are still nervous about changing supplier, but using a service like ours makes I very easy, and the financial savings can be significant.”

The Energy Advice Line is one of the UK's leading price comparison and switching services for business and domestic energy customers. It is also an advocate for energy market reform and has campaigned for a better deal for energy users, including calling for a ban on cold calling and changes to regulations to make it easier for all consumers to switch suppliers.

The service is completely independent and free. Consumers can quickly and simply search the market for the best available energy deals from an extensive panel of small and large energy suppliers. The service also offers a free advice service for business energy customers throughout the to of their energy contracts.

Live Energy & Climate Change Questions - House of Commons

Debate took place in the House of Commons this morning regarding the energy efficiency schemes and what is being done to further tackle the issue of climate change. Focusing heavily on the soon to be released Fuel Poverty Strategy and the recent issues regarding price cuts from the Big Six and independent energy suppliers, and what Ofgem and the CMA will be doing to ensure that these savings will be passed on to the domestic consumers.

Energy Secretary Ed Davey states that network costs count for a fifth of the domestic energy bills and historic analysis shows that these costs have been coming down since privatisation, but Ofgem do need to continue their pressure to bare down on this and ensure that the savings are then reflected in the consumer's bill. Currently the coalition has brought policy costs down by £50 and the UK is currently enjoying the lowest domestic gas cost in the EU - however are the price freezes helping the consumer, are they competent when instead further competition could help drive prices down further, a question posed by MP Steve Baker.

Davey agrees with Which? that we should be working harder towards market competitiveness, reforming the Big Six to reduce their market share and increase the independent suppliers as this will help to further increase the competition of tariffs and deals on offer. Profit margins for the Big Six are currently soaring due to the reduced wholesale prices so more needs to be done to pass these savings on to the consumers.

When posed the question of how much renewable energy will we see by 2015, compared to 2010, it is stated that the current government is the 'most green' it has ever been with renewable electricity generation up to 14% from 6.8% in 2010. Offshore wind is going to continue to insure the strong renewable energy mix, enabling these renewables to deliver their pledge.Wind power is essential but is obviously not 100% reliable which is why there is a mix in the renewable energy investments, including investments in the battery industry - developments to make sure that wind is more reliable when the subsidies come down.

The 'Solar Strategy' has so far helped businesses reduce their energy costs, with help from the Feed in Tariff for industrial businesses. It is reinforced that SMEs are essential to the growth of the economy so the government will continue to support them through the FiT to help with costs of solar capital and reduce the amount of tax payer money that goes towards this also. Predictions state that solar power will be subsidy free by the end of the decade, which is something to celebrate and the tax payer will also appreciate this. Solar remains as part of the renewable energy mix when looking at commercial energy strategy plans.

New legislation to be introduced will require landlords to ensure that their properties meet new energy efficiency standards by April 1st 2018, it is predicted that this will help around 1 million tenants when it comes to fuel poverty. Their properties must meet a minimal EPC rating of 'E' to pass this measure before they can be let. Reforms are made to the Green Deal and the Home Improvement fund to help a further 1 million homes become energy efficient in order to help tackle the issue of fuel poverty. So far, 445,000 Green Deal assessments have been made and evidence shows that 70% of these go on to install energy efficient measures, or plan to install these measures using the available options of the Green Deal Finance and their own savings/other financial options. More will also be done to help the insulation of park homes. Measures are being taken to ensure that families who are currently suffering from fuel poverty will be in EPC rated 'C' housing by 2030.

MP Kerry McCarthy questions the contributions of livestock towards global emissions and how people are being advised to further reduce their carbon emissions. The '2015 Global Calculator' has been recently released to show people how their every day decisions are making an impact on climate change, and lets them see what choices they need to make in the future to decrease their own personal impact.

While we await the Fuel Poverty Statement at the end of the month this certainly gives us a lot to focus on, especially given the forthcoming elections. It is, as it always is, important to ensure that you are paying the most competitive prices with your energy spend as this helps towards cutting your overall costs. Consumers can quickly and simply search the market for the best available energy deals from an extensive panel of small and large energy suppliers with the Energy Advice Line. The service also offers a free advice service for business energy customers throughout the to of their energy contracts.

Ofgem To Introduce Price Control Measures

The Energy Advice Line has welcomed initiatives that Ofgem claims will slash more than £2 billion from customers’ bills.

But Julian Morgan, managing director of the price comparison, switching and advice service, said the price controls and other measures came after years of inaction by the regulator.

Many households and businesses would still struggle to pay their bills this winter and lack of competition in the UK energy market remained the main cause of high prices and poor service, he said.

Ofgem has announced a tough range of price control measures for power distributors that it claims will slash bills by the equivalent of £11 per household. The measures limit the amount distributors can charge for the job they do.

The controls follow Ofgem’s rejection of earlier plans put forward by operators on the grounds they failed to deliver “good enough value” to customers”.

“These controls will deliver savings to both business energy consumers and householders, but an £11 reduction is small change when you consider the annual average dual fuel bill is more than £1200,” Mr Morgan said.

“In spite of this step in the right direction, consumers are still suffering from years of inaction by the regulator and government, and their failure to bring energy companies into line.

“Of course it is welcome that Ofgem is forcing energy companies to give the needs of customers a higher priority, because for years they failed to do this of their own accord, putting profits first.

“But the regulator needs to continue to keep pressure on all players in the industry – both at a supply and distribution level – and make clear that customers’ best interests are key.”

Ofgem has also announced that its price control settlement will see network companies spend £17 billion over the next eight years to upgrade and maintain the UK’s local electricity network.

In addition, it has imposed a £39 million fine on generators Drax and InterGen for failing to meet energy efficiency targets for low-income households.

“Following its announcement of a full competition review of the energy sector earlier this year, Ofgem is keen to try to get its own house in order,” Mr Morgan said.

“But I hope that Competition and Markets Authority will explore Ofgem’s own role in why the UK energy market, and therefore customers, have suffered from lack of competition.

“In the meantime, business energy users and householders have no option but to continue to search the market and take control of their own energy supplies. It’s really the only way to avoid paying over the odds.”

The Energy Advice Line is one of the UK's leading price comparison and switching services for business and domestic energy customers. It is also an advocate for energy market reform and has campaigned for a better deal for energy users, including calling for a ban on cold calling and changes to regulations to make it easier for all consumers to switch suppliers.

The service is completely independent and free. Consumers can quickly and simply search the market for the best available energy deals from an extensive panel of small and large energy suppliers. The service also offers a free advice service for business energy customers throughout the to of their energy contracts.

Have You Considered An Independent Energy Supplier

SMEs right to consider independent energy suppliers, says Energy Advice Line

The Energy Advice Line has urged SMEs to consider switching to independent energy suppliers following a report showing they enjoy higher customer satisfaction ratings than the Big Six.

Julian Morgan, managing director of the price comparison, switching and advice service, said Datamonitor’s new B2B Energy Buyer Customer Satisfaction survey showed small firms continued to be unhappy with the major suppliers.

“The findings reflect what many of our customers are telling us: switching to a smaller, independent supplier can be a sound business decision,” Mr Morgan said.

“Small suppliers won’t necessarily suit every business, but these findings should encourage firms that haven’t considered switching to them should do so.

“Although the UK energy market is not as competitive as it should be, recent initiatives to loosen the stranglehold of the Big Six suppliers is seeing smaller players improve their game in order to gain a foothold in the market.

“Many of our customers find they are financially better off, and benefit from better customer service, with a small supplier.”

The report showed that independent operators Opus Energy and Haven power took out first and second spots respectively in terms of SME satisfaction.

Both suppliers enjoyed a modest improvement in their customer satisfaction score, up by 0.34 and 0.37 points respectively between 2013 and the first half of 2014.  Meanwhile, satisfaction with all Big Six suppliers fell, except E.ON, which secured the third-highest spot and was up 0.17 points.

However, the report showed that on average, SMEs are now less satisfied with suppliers across the board than they were in 2013.

“The findings send a very clear message to the big suppliers that they need to up their game and could do worse than look to the smaller independents as role models,” Mr Morgan said.

“Business energy consumers are fed up with poor customer service and the uncompetitive tariffs sometimes offered by the Big Six and are voting with their feet.

“Not only is it essential for SMEs to shop around, but it’s vital to consider switching to one of the new players in the market.”

The Energy Advice Line is one of the UK's leading price comparison and switching services for business and domestic energy customers. It is also an advocate for energy market reform and has campaigned for a better deal for energy users, including calling for a ban on cold calling and changes to regulations to make it easier for all consumers to switch suppliers.

The service is completely independent and free. Consumers can quickly and simply search the market for the best available energy deals from an extensive panel of small and large energy suppliers. The service also offers a free advice service for business energy customers throughout the to of their energy contracts.

81% of SMEs Don't Shop Around for Energy

Most small and medium-sized firms were missing out on savings by failing to shop around for their energy supplies, according to the Energy Advice Line following the release of a new report.

Julian Morgan, managing director of the price comparison, switching and advice service for energy users, said he was shocked by the findings of the survey by independent supplier Opus Energy.

The survey found that 81% of small businesses failed to shop around for their energy supplies, while almost one-quarter were paying out-of-contract rates for their gas and electricity.

Significantly, 12% of businesses had never switched suppliers, opting to stay loyal to their existing energy company.

“It’s very clear, and actually quite shocking, to see that so many time-pressed small business owners and decision makers are simply not prioritizing their energy supplies,” Mr Morgan said.

“There’s no doubt that most of these firms are paying more than they need to by not switching – and depending on the size of the company and the sector they are in – this could amount to hundreds of pounds in lost savings each year.

“Those companies that have never switched suppliers have lost out the most, probably by a significant amount.”

Mr Morgan said many SME owners wrongly believed it was not worth their while to switch suppliers, and that it would be a long and complicated process to shop around.

“Nothing could be further from the truth, “ Mr Morgan said. “Using a reliable and reputable switching service like the Energy Advice line means business owners save themselves all the legwork.

“And once we find them a cheaper deal, we handle the switching and provide a free contract management service as well. There’s no obligation and the service is free.”

Mr Morgan particularly appealed to small firms that had never switched suppliers, and those who were on expensive out-of-contract rates to shop around for good fixed-rate deals.

In other areas, the Opus Business Boost Report showed that the majority of UK SMEs were trying to manage their energy better and had adopted a positive attitude towards renewable supplies.

Of the 500 SMEs surveyed, 78% said they were keen to be supplied with renewable energy and of these, 40% wanted it because of its smaller environmental impact and 38% to advance their green credentials.

More than half (51%) of businesses already have smart meters to help them keep track of their energy use, although a fifth didn’t know how to use their meter.

The Energy Advice Line is one of the UK's leading price comparison and switching services for business and domestic energy customers. It is also an advocate for energy market reform and has campaigned for a better deal for energy users, including calling for a ban on cold calling and changes to regulations to make it easier for all consumers to switch suppliers.

The service is completely independent and free. Consumers can quickly and simply search the market for the best available energy deals from an extensive panel of small and large energy suppliers. The service also offers a free advice service for business energy customers throughout the to of their energy contracts.

Despite Energy Costs Plummeting, Bills Stay High

The Energy Advice Line has backed calls by Ofgem for suppliers to explain why the benefits of falling gas prices have not been passed on to business and domestic energy users.

According to news reports, UK wholesale gas prices for November and December deliveries hit a record low at the end of October, which means the cost of buying natural gas dived by almost a quarter during 2014.

Julian Morgan, managing director of the price comparison, switching and advice service for energy users, said suppliers had not yet signaled any meaningful cuts to bills despite the falling costs.

“Some suppliers have made some changes to their tariffs, and there are some good deals available for consumers who want to lock themselves in to fixed-term deals,” Mr Morgan said.

“But generally, retail prices have remained static while the raw cost of energy has plummeted.

“Suppliers need to provide a full explanation of this to consumers, who do not understand why they are not seeing at least some benefit from falling gas prices. After all, when wholesale prices rise, suppliers are very quick to pass that on.

“Ofgem is correct in demanding an explanation. It seems there is very little option for consumers but to apply public pressure to force suppliers to do the right thing.”

In response to the record-low wholesale prices, Ofgem, which has already referred the energy industry for a full competition inquiry, said companies owed it to their customers to explain their pricing decisions.

In turn, suppliers have argued that an isolated fall in wholesale prices was not enough to pass on to customers because they bought energy days, weeks, months and even years in advance.

“Ofgem was correct when it said that suppliers need to rebuild customer and the only way to do this is to explain to energy users why tariffs are at the levels they are,” Mr Morgan said.

“Meanwhile, this is a crucial time for both business and domestic energy customers to keep their eye on retail prices and shop around.

“There may be suppliers prepared to break cover and do the right thing as their raw costs fall.

“While there is still ample room for the UK market to be more competitive, not all suppliers behave the same way, nor do they all offer the same deals.

“By failing to shop around, consumers can end of paying a lot more than they need to, and this can run to hundreds of pounds of year.”

The Energy Advice Line is the UK’s leading impartial comparison, switching and advice service for businesses and householders.  It actively campaigns for reform of the UK’s energy market to boost competition, get consumers a better deal from suppliers and lower energy prices.

The Energy Advice Line’s price comparison and switching service is free and completely impartial. Consumers can obtain energy quotes with a few computer strokes based on a diverse panel of energy suppliers including the major players and smaller independent utility companies.

For further information visit 

Beware of Hidden Charges Before Switching Suppliers

Consumers shopping for cheaper business electricity rates should ensure that they compare like-for-like tariffs following changes in the way some suppliers itemise their bills, according to the Energy Advice Line.

Some customers could be signing up to deals unaware that a Feed-in Tariff (FiT) charge was payable on top.

The FiT scheme was designed to encourage homeowners and businesses to invest in green technology such as solar panels and wind turbines. People who install the technology receive a subsidy and a guarantee that any surplus electricity will be bought back by the national grid.

Suppliers can not longer absorb the costs... 

The subsidy is paid for by adding an extra charge onto the bills of those who don't install the technology. Up until recently, most suppliers just incorporated this into their unit rate so it was invisible. However, this is changing. The number of people taking advantage of the FiT scheme grew tenfold in 2012 and, combined with the fact that the subsidy is set high to encourage people to join up, there's heavy financial pressure on the system.



It was only a matter of time before business electricity suppliers started itemising this as an extra charge, and some have started to do this. The crucial thing for consumers is to make sure that the price they are quoted for their electricity does in fact include this FiT charge, as we estimate that it adds a not-insignificant 2 - 3% onto a bill.

When comparing prices ask about the FiT Charge... 

When comparing energy prices, consumers need to be very careful that they are comparing like-for-like and ask suppliers whether the price they are quoting includes the FiT charge, or if it will be added on top.