How to Switch Energy Suppliers: Step by Step

Switching energy suppliers used to feel like a big deal. It’s not. The whole thing takes about 10 minutes online, your new supplier handles the transfer, and your gas and electricity keep flowing exactly as before. Same pipes, same wires, different company billing you.

When It’s Worth Switching

The biggest savings come when your fixed deal has ended. Once a fixed tariff expires, you get moved onto your supplier’s standard variable rate, which is almost always more expensive. If you’ve been with the same supplier for years without checking, you’re probably overpaying. Same goes if you’ve just moved into a new property - default tariffs for new occupants tend to be pricey.

If your supplier has gone bust (it’s happened to quite a few in recent years), you’ll have been moved to a new one automatically. That doesn’t mean you’re stuck with them though - shop around once things are settled.

What You Need to Compare Properly

Before you start looking at deals, dig out a recent bill or log into your account. The numbers that matter are your annual electricity usage in kWh, your annual gas usage in kWh, your current tariff name, your payment method, and your meter type (standard, Economy 7, or smart).

Your annual usage is the critical bit. Don’t rely on the “typical household” figures that comparison sites use as defaults - plug in your actual numbers. A three-bed semi with one person working from home uses very different amounts to the same house with a family of five.

Looking Beyond the Headline Price

The unit rate (price per kWh) gets all the attention, but the standing charge matters too, especially if you’re a light energy user. A tariff with a lower unit rate but higher standing charge might actually cost you more if your usage is modest. Run the numbers with your actual consumption.

Exit fees are worth checking as well. Some fixed deals charge £30-50 per fuel if you leave before the term ends. And look at whether prices are fixed or variable - a fixed deal locks your rates for a set period (usually 12-24 months), while variable rates can change with relatively short notice.

The Actual Process

You compare deals (either through comparison sites or directly with suppliers), sign up with the one you want, and then mostly sit back. There’s a 14-day cooling-off period if you change your mind. The switch itself usually takes about 21 days. Your old supplier sends a final bill, your new one takes over, and the energy flowing into your home doesn’t change at all.

One thing we’d recommend: submit a meter reading on your switch date. This makes sure both suppliers bill you accurately and neither one charges you for energy the other supplied.

Fixed vs Variable

Fixed deals lock your unit rate and standing charge for a set period. The upside is predictability - you know exactly what you’ll pay per unit. The downside is possible exit fees, and if prices drop significantly, you’re stuck paying the higher rate. Variable tariffs let you leave anytime with no fees, but prices can go up.

Whether fixed or variable is better depends on what wholesale prices are doing. Sometimes fixed deals undercut the price cap; sometimes they’re more expensive. We’d suggest comparing both and going with whichever works out cheaper for your usage.

Prepayment Meters

You can still switch on a prepayment meter. Smart prepayment meters work with most suppliers. Traditional key or card meters are more limiting, but there are still options. The government has capped prepayment rates at the same level as direct debit, so you’re no longer penalised for your meter type.

Things That Won’t Stop You

Your landlord can’t prevent you switching supplier (though they might have rules about changing the meter type). Small debts under £500 simply transfer to your new supplier. Being in a fixed deal doesn’t stop you either - you can switch, you just might have to pay an exit fee.

Larger debts over £500 might need clearing first, and some suppliers won’t take you on if you’ve switched very recently or have a faulty meter. But for most people, there’s nothing in the way.

After You Switch

Keep your old bills for a year. Check your first bill from the new supplier to make sure the rates match what you signed up for - mistakes happen. And set yourself a reminder for when your new deal ends, because the same cycle applies: once a fixed tariff expires, you’ll slide onto a more expensive default rate again.

The savings from switching aren’t as dramatic as they used to be (the price cap has narrowed the gap), but it’s still worth checking every year, especially when your deal is up for renewal.