Research shows that nearly half of all energy switchers last month moved away from the big six firms in favour of a smaller challenger.
Comparison website Compare the Market found that 43.1 per cent of switching consumers moved from one of the big six suppliers – EDF, British Gas, Npower, E.On, SSE and Scottish Power – to smaller players such as Ovo and First Utility.
Despite this British Gas was named as a winner last month, with 31 per cent of all switches going to the supplier.
The mass switch to British Gas is believed to have come after the energy giant launched its ‘Collective Fix’ tariff, a deal that is fixed until November 2016. Nearly all consumers that moved to British Gas opted for this new deal, which could save the average household £392.
James Padmore, head of energy at Compare The Market, said: “This has been an interesting time for the energy market, with the government recently calling for an energy switching guarantee, which we believe could be an important component of the UK energy market.
“A government-backed guarantee would offer certainty and continuity for customers and in turn increase switching levels and encourage competition in the market. Millions of households could be put off switching because of concerns about the transition, so hopefully this proposal can be turned in to action to the benefit of consumers all around the country.”
Source: This is Money