Businesses that worry about paying too much for gas and electricity may look at ways in which they can reduce their monthly spending on energy bills. An estimated 320,000 gas and 315,000 electricity customers use prepayment meters to help them keep an eye on how much energy they use, although a number of those customers find themselves with debts of over £300 on their energy bills. Until recently, customers with over £200 of outstanding payments to their energy supplier who wanted to switch in order to save money couldn’t do so.
Fortunately, a move by energy industry regulators Ofgem could change all that, as they have moved the threshold of outstanding debts from £200 to a more reasonable £500. This ‘switch and save’ option will make it easier for smaller companies who have difficulty in paying high energy bills to move to another energy company offering cheaper gas and electricity. Some of the UK’s biggest energy firms including British Gas, E.ON and npower have already agreed to raise the debt limit.
It’s no secret that gas and electricity have become more expensive in recent years. This has made it difficult for smaller companies to pay their bills in full and on time, with many of them agreeing to use prepayment meters in order to keep track of paying bills. The move from Ofgem to make it easier to switch suppliers than it was before has been welcomed by a number of companies and consumer groups, not to mention the likes of energy saving experts Make It Cheaper, who released this statement:
“A number of companies who came to us for advice on how to switch energy suppliers complained that their old ones were inaccurate with their billing and provided poor customer service. We went into business to help show our clients that there’s always a possibility that, by moving to another energy supplier, they could save themselves money and get improved customer service into the bargain.”
Something that many businesses hope to make, especially in the current economic climate, is significant savings. Although energy is getting more expensive, the fact that Ofgem have helped to make it easier for businesses and households to move to another supplier by nudging some of the country’s biggest energy companies in the right direction, it’s possible to switch and save. For small businesses that have to monitor every single penny they spend, they won’t have to worry about having too much debt to get their gas and electricity from elsewhere.