Energy bill overcharging

Commenting on Consumer Focus research into energy bill ‘overcharging', Scott Byrom, utilities manager at moneysupermarket.com, said: "Unfortunately the majority of UK bill payers are still willing to remain on the same tariff and provider and do nothing proactive to change to a better deal, this means we have an uncompetitive energy market which is only a good thing for the suppliers.

"For those who have never swapped their gas and electricity supplier, sitting still with the same tariff is preventing healthy competition; especially as Ofgem has revealed on average 75 per cent of all the energy giants' electricity profits are earned from these customers - those living in the provider's traditional area. We have found that British households languishing with the traditional gas and electricity provider for their region - the incumbent provider - are missing out on almost £2.49 billion in savings. On average a British household can save £239.67 by swapping to the ‘best' online deal for their region. However, almost half of all bill payers (48 per cent) remain loyal to their incumbent provider and haven't swapped to a better deal, according to Ofgem research.

"There is no doubt there are better deals on the market, and there is a clear call to action here - if all customers were active in taking advantage of what's on offer they would force energy suppliers to be more competitive. Despite this year's price cuts4 the impact of last year's unprecedented price hikes is still hitting wallets hard, so it's crucial to take action immediately to cut costs wherever possible. There are definitely savings to be made by taking ownership of your bills and staying savvy to the best deals on the market."