Ofgem say not switching energy companies is costing you £200m
The people at Ofgem have done a study which says the 9 million people renting in the UK are losing out to the tune of £200 million. They say renters are less likely to shop around, so they're getting stiffed on deals.
This data was gathered from Ofgem's incredibly exciting '2014 Consumer Engagement survey' which showed that three-quarters of tenants have never switched supplier and one in five isn't aware that they are able to.
Dermot Nolan, Ofgem’s CEO, said: "The number of British households renting stands at 9 million and counting, yet research has shown that this group is not shopping around for their energy, and missing out on savings of up to £200."
Their maths, not ours, just in case any of you lot start moaning.
Weirdly, it seems that there's a lot of people out there who think they are stuck with the energy supplier who provide their utilities on the day they move in. Even if your landlord takes care of the bills and your rent is all-inclusive, you can still shop around and ask them to go cheaper if you want.
This is all part of Ofgem's "Be an Energy Shopper" campaign, which hopes to help consumers realise that they aren't in a situation that is akin to an energy company chaining them to a radiator and waiting for Stockholm Syndrome to kick in.
Ann Robinson, Director of Consumer Policy at uSwitch.com, said: “These findings are worrying, particularly given the dramatic rise in the number of people having to rent as they can’t afford to get onto the property ladder. Renters need all the help they can get to keep costs down and switching energy provider is an extremely easy way to reduce their monthly bills."
"Ofgem’s campaign to clear up tenants’ misconceptions about their rights is a step in the right direction, but more should be done. We call on landlords and letting agents to provide all new tenants with information on their current energy provider and remind them of their right to switch. This will empower renters to make an informed choice about who provides their energy."