Landlord Products / ServicesYup, I’m late to the energy “automatic switching” party, are you? Fortunately the party’s not over – there’s still good time to make hefty savings on our energy bills year after year, whether you’re a homeowner, tenant or [HMO] landlord! So let’s dance.
Saving an average of £400 per year is a sweet and regular occurrence for those that routinely switch their Gas & Electricity supplier.
Only, most of us don’t make the switch, we stick with the same-old and swallow the ludicrous rip-off rates, allowing our bank accounts to cough up blood and mucus!!
*slaps forehead*
Needless to say, our faith will be woefully misplaced if we believe our energy supplier will automatically reward us with loyalty rates. Instead, wisdom should prepare us for punishing price hikes. Just for being faithful. Bat-shit ridiculous when you think about it, really.
Thankfully, it’s a broken breaking model. There’s a rebellion; the net is closing in, and the vultures are circling.
The resistance has developed and provided consumers with a swanky new and simple solution to beating the system, helping us save both time and money on our energy bills! Forever!
And, it’s becoming insanely popular. For all the right reasons!
First came “comparison” websites, which allowed us to easily scour the market for better rates from one single location. They served their purpose, and will have their place in the history books. But they’re not the future, nor the now. At least, not in the energy sector.
As with most technology, traditional ‘comparison’ and ‘switch’ websites are becoming obsolete because they’ve become sickeningly inefficient for a mob that now demands quicker and less taxing solutions.
Ultimately, their Achilles’ heel is the fact they rely on consumers to sharpen their blades every year to restart the hunt for the best available deals. Not exactly sustainable in a digital world where entering a 4 digit pin to unlock a phone has become too laborious, now we demand facial recognition.
TOO MUCH EFFORT DESTROYS LIVES IN 2019!
Yes, the energy suppliers were grazed, but surviving well, thanks to consumers waving off the annual hunt in favour of collapsing on the sofa.
However, we’re in phase two now; the resistance has introduced “auto-switching” services (not to be confused with basic comparison or switch services), which has made it possible for even the most hideously inactive waste-of-space to be automatically switched onto the best energy rates every time the fixed-term contract expires. Hunting no longer required.
If you’re not already on the ‘energy auto-switch’ hype, let’s take a walk through the newest way of managing our utility tariffs…
What Energy Comparison & Auto-Switching Services are and how they work…
An Energy Switching Service will search the market to find the best energy deal for your HMO, BTL and your own home, so you benefit from the best available tariff, and they’ll manage the entire switch for you.
“Auto-switching” is an additional feature (which many standard “switch” services DON’T provide), which enables them to automatically re-switch you onto the best tariff after your fixed term ends, ensuring that you are always on the cheapest deal.
All you need to do is sign-up once to an auto switch service, and that’s it. They take care of the rest. Over and over again.
Having looked into the logistics, it seems like a no-brainer service that everyone [that is responsible for paying energy bills] should be taking advantage of, unless I’m tragically missing the bear trap (which I’m sure someone will aggressively point out if that’s the case). Generally, here’s how it works:
- Sign up to an energy comparison/auto-switch website ONCE.
- Enter the details of your property and current tariff(s).
- Allow their algorithm to search the market for better deals than your current one.
- Once a better deal is found, you can review and confirm the switch.
- Once the deal ends they’ll re-switch you onto the best tariff for your given energy usage – you don’t need to do anything. If it’s with a new supplier, your details will automatically get passed onto them, so you won’t need to supply your personal information again.
Depending on which auto-switch service you use, they will either automatically switch you onto a better tariff, or they will notify you by email before switching. In either case, you will typically have a 14 day cooling-off period to cancel any switches.
That’s the jist of it, anyways.
The Best Rated Energy Comparison & Auto-Switching Services
I’ve discovered a few of the most popular (according to Google’ Search Results) and highest rated energy switching services, and I’ve listed them below:
| Service | Rating | Features | Cost | Avg Saving | |
|---|---|---|---|---|---|
Switchd | Rating TrustPilot Reviews | FeaturesHow 'Switchd' worksSwitch Process & Frequency
Market Coverage
*Average Savings
**Free or Paid Plan explained
| Cost **Free | Average Saving *£408 | Visit Website **Discount Code: PIPLANDLORD |
MoneySuperMarket Energy | Rating TrustPilot Reviews | FeaturesHow 'MoneySuperMarket Energy' worksSwitch Process & Frequency
Market Coverage
*Average Savings
| Cost Free | Average Saving *£306 | Visit Website |
Switchcraft | Rating TrustPilot Reviews | FeaturesHow 'Switchcraft' worksSwitch Process & Frequency
Market Coverage
*Average Savings
| Cost Free | Average Saving *£268 | Visit Website |
Look After My Bills | Rating TrustPilot Reviews | FeaturesHow 'Look After My Bills' (LAMB) worksSwitch Process & Frequency
Market Coverage
*Average Savings
P.s. Yes, in case you're wondering, these are the same folk that appeared on Dragon's Den and "got the best deal EVER" (YouTube clip). | Cost Free | Average Saving *£253 | Visit Website |
I recommend looking at the FAQ section of each switch service to determine how they manage switches, some of them slightly differ from one another. For example, some companies check for better deals once a year, while others will do it more regularly.
Traditional ‘Comparison’ Websites Vs ‘Comparison & Auto-Switching’ Services
I think many people – like my fossilised parents, who still deem it acceptable to pay poor and unsuspecting schmucks with cheques – avoid dethroning energy suppliers because of the perceived hassle of it all.
Mum/Dad: Who wants to drudge through various comparison websites and input copious amounts of personal information just to salvage a marginally better rate and then administrate the transfer to a new supplier, which is bound to go wrong, when we can just blindly and blissfully continue with our current supplier [and gobble up their tasteless rates]?
OH MY GOD! I HATE YOU PREHISTORIC DICKHEADS’ SO MUCH! How are you even my blood?!? *slams bedroom door*
Once upon a time, my beloved dinosaurs’ may have had a [subjective] point, to be fair. For reasons already covered, traditional comparison websites aren’t all that efficient anymore. Even my dusty parents know it.
I’ve historically unearthed better deals by stampeding through traditional comparison websites (e.g. MoneySuperMarket.com. Confused.com etc) and tasking their algorithms to match me with better partners, every few years.
Case in point, the old way was an fallible solution to mere mortals that, quite frankly, can’t be fucked to do it every year. Even if it only takes 10 minutes.
Shamefully, I’ve allowed too much time to pass since my last switch, and I wasn’t aware of auto-switching back then. I’m not even sure if they existed, so my only option was to gather a quote from a comparison website and then contact the energy supplier directly to tie a deal together.
I feel exasperated just thinking about the old way.
I’m currently tied into my demoralising contract with British Gas for another 4 months *mumbles* After they’ve finished draining me senseless, I’ll almost certainly partake in the good old switcheroo. And I’ll keep it automated this time.
Apparently, according to my early tests, Switchd.co.uk can save me a handsome £340 per year by switching to a new tariff (unless British Gas gets on their knobbly knees and coughs up a sweeter deal! I won’t be holding my precious breath).
I want to switch energy suppliers, but what about exit/cancellation fees and penalties?
To summarise:
- Energy supplier exit fees (cancellation or leaving fees) are applied to fixed-term energy tariffs with a fixed price and contract end date. If a customer wants to switch energy and leave your provider before the end of the contract, an exit fee could apply.
- Nearly two-thirds of all energy tariffs don’t have exit fees,
- The highest energy exit fee in the UK is £100 per fuel by Engie – that’s £200 for both gas and electricity.
- If you’re on a fixed-rate tariff (a fixed monthly fee and an end date) check your contract for details or information about exit fees.
- Those on variable tariffs won’t have to pay an exit fee
Everyone Should Benefit from the Best Energy Deals
- If you’re not currently using an energy switching service to keep your own residential energy bills in check, maybe you should be.
- Obviously this is first and foremost a landlord blog, so most of you reading this all be a landlord.
So if you’re a landlord that is responsible for utility bills (common for HMO landlords and the loony single-let landlords that enjoy the headaches of including utility bills with the rent), then using an energy switching service could be a decent means of maximising profits.
- If you’re not responsible for the utility bills of your BTL(s), then you could just mention the switch service to your tenant if the opportunity ever arises. I mean, why not? Renting is already expensive enough. Maybe your tenant(s) will stay longer than anticipated if their living costs reduce, which of course, is better business for you (unless you have garbage tenants that you’re trying to dispose of).
Isn’t Switching Energy Suppliers a pain in the ass, though?
Yeah, so the thing is, I’ve exercised much more discipline with annually searching and renewing other subscription based services, such as home, BTL and car insurance policies. They just seem significantly easier to manage.
With switching energy suppliers, I’ve been partially paralysed by the figment of my wild and vivid imagination; I’ve previously runaway with mental scenes haunted by tonnes of earth being excavated, and gas pipes and electrical cables being relayed and rerouted in order to make the switch happen. My mind overreacts, for sure, but that’s the kind of irrational non-sense my beautiful mind has to conquer, and the reason for why I probably don’t change my energy supplier as much I should.
Coincidentally, moments before publishing this blog post, this tragic tale appeared on my Twitter feed…
No, Victoria didn’t get swindled by an energy auto-switching service. Just a sweet lady selling Octopus Energy packages and fine tupperware.
I’d personally side-step door sales people selling energy solutions. Or anything else.
Shout out to Victoria Whitlock (“The Evening Standard’s Accidental Landlord”) for being such a brave victim. You can catch her on Twitter. I’m sure she’ll appreciate our prayers during these dark times (drum roll, please!).
In any case, you can never please everyone all the time. Some times the transition will be smooth, others as rough as the acne on your Nan’s ass. Perhaps naively, I’m inclined to believe “professional” auto-switch services manage the complications and have fine-tuned the migration to deliver minimum disruption, otherwise they wouldn’t really have a business. Errr… right? Right. Plus, I think the trade-off for any potential mishaps will be worth it, and I’m counting on the good times to outweigh the bad.
It is reassuring that there have been a lot of positive reviews for the switch services I listed.
Will you ALWAYS get the BEST energy deal available?
Ha, don’t be a dumb-ass! Of course you won’t. Most likely!
But that’s not the point.
You might get your grubby little mitts on a better rate each and every year if you manually query each energy supplier’s website and every available comparison website on the internet. But the problem is, most people aren’t doing that each and every year, they’re sitting bone-idle, which is precisely “auto-switch” services were able to fill the gap.
I think it’s fair to say that if you use an automated energy switching service you’re much more likely to continuously benefit from better rates than if you were to blindly continue with your current tariff like many of us are, even though we’re aware of comparison websites. And that’s the point.
I think it’s a practical service that many will save money from leveraging. Worse case scenario, I get shown better rates and decide not to switch because the new figures don’t wet my appetite enough.
What’s your deal?
I’m sure many of you will already be on the energy switching hype train, so you’ll be forgiven for looking down at me in utter disgust for arriving to the dance so unfashionably late. But if you’re also late, hopefully this has been a useful camp.
If you do happen to give one of the switching services a spin, whether it be any of the one’s I listed or otherwise, please share your outcome.
Peace xoxo
Disclaimer: I'm just a landlord blogger; I'm 100% not qualified to give legal or financial advice. I'm a doofus. Any information I share is my unqualified opinion, and should never be construed as professional legal or financial advice. You should definitely get advice from a qualified professional for any legal or financial matters. For more information, please read my full disclaimer.
I haven't delved too deeply into their websites but can't see detail at a glance.
Do you know whether they only work for people who pay by monthly direct debit? All my tenants are on pre-pay.
What about smart meters? I have read that all the power companies have different smart meters which are not compatible with other suppliers - which makes switching tricky. (They didn't think that through when the legislation was introduced encouraging suppliers to put customers on smart meters.)
Having said that - it sounds a brilliant idea!