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Is it risky to switch to a small energy supplier?

Patrick Christys
Mar 7, 2019


Energy customers blowing a gasket over constant price hikes by the big suppliers, but there may be a better, cheaper way of doing things.

Here at A Spokesman Said we're fighting for you, battling to keep as much of your hard-earned cash in your pocket.

This is why you should go to A Spokesman Said to find a great energy deal for you - and you might find that comes by switching to a smaller energy supplier.

But people seem afraid to do so, so we've compiled a list of the pros and cons of going with a small energy provider.

Advantages include, the big one, PRICE:

The government wanted to increase competitiveness in the energy market, so it gave smaller companies an advantage, like being exempt from Energy Company Obligation, so they can offer cheaper deals.

Also, smaller firms tend to employ fewer staff and have fewer overheads, so, again, they don't have to charge as much.

THE ECO WARRIORS:

If you like hugging trees or, to a lesser extent, recycling, then you're probably into green energy.

The newer suppliers are usually tripping over each other to show how 'green' and 'sustainable' they are, so you can see how much of their energy is renewable. 

CUSTOMER SERVICE:

Smaller firms often score higher when it comes to customer service. 

Because they have a smaller customer base, they can usually offer more of a human touch when it comes to phone conversations and queries. 

With the big firms you can spend half your life on hold listening to what sounds like elevator music while a robot reads out a series of irrelevant options before you get through to a grumpy, overworked phone handler who tells you there's nothing they can do to help.

But there are some disadvantages such as GOING BUST:

One of the big gambles with smaller energy firms is the risk that they might go bust. 

While they offer cheaper deals than the big suppliers, they often find out that their business model, unlike their energy, is not sustainable.

Last month, Our Power joined the long list of small providers that have ceased trading in a little over a year, including Extra Energy, Spark Energy, Future Energy, National Gas and Power, Iresa Energy, Gen4U, Usio Energy, One Select and Economy Energy.

But there is a safety net in place - Ofgem, the energy regulator, steps in to make sure your energy doesn't stop even if your energy supplier goes pop.

It puts you on a standard tariff until a new supplier is found.

It always pays off to shop around and going with a smaller supplier could save you cash.

Go to A Spokesman Said for the best deals.

Here at A Spokesman Said we love fighting for your rights and believe passionately in natural justice.

But these battles cost us money. You could help us fund these fights by using our price comparison site, A Spokesman Said for your energy, car insurance and household bills.

We’re just the same as Go Compare or any other price comparison site, so you won’t be losing out in any way - by helping us, you will be helping yourself.

Thank you for your support.

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