Energy Switches for May 2020 Down -15%
Switching numbers sourced from Energy UK show that over 410,000 customers switched to a different supplier in May 2020, down 15% versus last year.
When tallying up the total from the start of the year to May, the statistics show that 2.5m million customers switched o a new energy supplier, down versus last year by 5% for the same period.
Energy UK’s response –
Audrey Gallacher, Energy UK’s interim chief executive, said:
“While it is not surprising that switching levels are slightly down during the lockdown, there will be many people who will face financial difficulties as a result of the pandemic, so it is important to remember there are ways you can save money on your energy bill, either by checking you are on the right deal with your current supplier or by shopping around. More importantly, I’d encourage everyone to make sure that your homes are energy efficient which is the best way to keep your bill down for the longer-term and also help the environment.”
The declines in switches were largely seen across the board when looking at Energy UK’s categorisation of small, mid-tier and large suppliers:
- 37% were from larger to small and mid-tier suppliers
- 13% were from small and mid-tier to larger suppliers
- 27% were between larger suppliers
- 23% were between small and mid-tier suppliers
In April this year, we reported the sharpest decline in switches versus last year by 29%. A month later, the decline versus last year, whilst smaller at 15%, is interesting and provokes the question of ‘why?’ when consumers are able to easily save money shopping around. All signs point towards Covid-19 being the main influence in fewer people switching.
Why do people generally switch energy supplier?
A survey by MoneySuperMarket showed the top reasons as to why consumers would be convinced to make the jump to switch energy supplier:
- 58% said that savings that made it worth their time
- 41% said energy bills increased by unacceptable amount
- 18% said a one-off incentive or promotional offer
- 18% said experiencing poor customer service with an existing energy supplier
- 10% said being offered free smart home products
- 8% said switching to a renewable/greener energy provider
- 8% said they understood the energy switching process better
- 8% said if the energy switching process became less time consuming
While 8% of consumers think the switching process is time-consuming, it actually doesn’t take long to switch energy provider and you can do so via our partner, Energy Helpline and save money in the process: