Electricity customers remain highly charged

Increased competition does not mean customers get better electricity prices according to research by the University of Warwick.

Indeed, electricity prices have actually risen despite an increase in money-saving opportunities such as internet-based price comparison services and competition from new suppliers.

The researchers looked at prices offered by each of the domestic electricity suppliers active in the market from February 1999 to December 2006. The data was obtained from the Consumer’s Association, OFGEM and Energywatch.

Karen Darby, founder of SimplySwitch.com comments: “The report consolidates what we have said all along – there are no prizes for loyalty and customers who remain with their original electricity supplier will be paying more than they need to.

“Consumers are still reluctant to switch, despite the fact that there is a bigger variation in prices now. Of those that do switch, many still sign-up via a door-stop salesperson…… doorstop selling, or rather mis-selling, is still an issue as suppliers push their own products.

“With energy prices falling and average savings of over £200 a year available, consumers need to take the lead and compare suppliers, check with an independent source and switch to a better deal.”