At the moment, suppliers have up to 65 working days after a price increase to tell their customers about it and by the time you switch you may find your tariff rate has changed. Having received this notification, consumers have just 10 days in which to terminate their contract.
According to Ofgem, the regulator of the electricity and gas markets in the Uk, 70% of consumers find the number of tariffs on offer confusing and just over half find it too hard to work out whether they would be saving anything if they switch. Against this backdrop, Which? has consistently called for simpler bills and minimum standards for tariffs, of which there are currently more than 4,000 available to UK consumers.
Fiona Cochrane, senior policy adviser, at Which?, said: “At long last, Ofgem has responded to consumers’ concerns about complex bills. Yet, despite recognising that tariffs are confusing, Ofgem has failed to take action on this front. We need minimum standards for tariffs so consumers can make meaningful comparisons between the thousands that are available and find the best deal for them.
“Surely it’s not unreasonable for people to be warned in advance of price increases or for their new tariff to be guaranteed for at least the time it takes to switch supplier. If Ofgem won’t address this, the Government must step in,” she added.”
