Survey reveals why consumers are not switching their utilities supplier

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20th October 2017 19:59 - Utilities

Survey reveals why consumers are not switching their utilities supplier

Survey reveals why consumers are not switching their utilities supplier: Statistics found that since regulations were lifted from utilities suppliers, only a handful of small businesses are choosing to switch their water supplier.

By September 2017, only 53,268 switches had taken place, 11,000 of which occurred during the test phase before the market opening – totalling to only 2% of the whole market.

According to recent statistics, the following household switches were made, last year:

·       12% switched their gas and electricity

·       7% switched their mobile supplier

·       6% switched their broadband and fixed line

·       3% switched their bank account(s)

·       2% switched their digital TV subscription package(s)

The 'Power to Switch' campaign was put into place to stop customers from paying more than they need and estimated £2.2 billion worth of savings available to 11 million households in the UK, if they chose to switch their energy supplier.

However, according to utilities statistics, small businesses are less inclined to switch their water supplier.

A survey conducted by Edelman Intelligence found that only 41% of businesses in England were aware of the change.  

According to the survey, 74% of businesses said they would be more willing to change their supplier if they were informed about the details of the switch, compared to the 37% who were not fully informed.

Commenting on the statistics, CEO of Utilitywise, Brendan Flattery, said: “With deliberately confusing and non-standardised pricing and Ofwat not doing enough to promote the open market, it’s near impossible for small businesses to take advantage of the savings, as they don’t have the time required to interact with approximately 20 suppliers separately.”

Due to the low percentages, the Government are calling upon energy suppliers and banks to make the switch quicker and more convenient for their customers at no extra cost, and state that suppliers participating in the switch should give customers easy access to all the details regarding usage, under the set of ‘Switching Principles’, released in October 2015. 

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