Smaller energy providers are continuing to grow

More than half of householders who have switched energy provider over the past 12 months have opted for one of the smaller providers rather than one of the so-called Big Six.
It means the likes of First Utility, Extra Energy, Ovo Energy and Co-operative Energy are collectively increasing their market share at the expense of the legacy operators – those companies that controlled the market when the industry was first privatised.
Consumers who have never switched provider will still be with one of the Big Six – but these latest figures, from Gocompare, suggest that the smaller competitors are continuing to make inroads into the market.
Unsurprisingly, the main reason for this is value, with the smaller providers dominating the price-comparison charts.
“Smaller energy companies have been dominating the ‘best-buy’ tables for quite some time now, so it’s hardly surprising that savvy energy customers have been switching to them in order to save money on their gas and electricity bills,” says Tom Lewis, of Gocompare..
“Currently, GB Energy Supply, Extra Energy, First Utility, Flow Energy, Gnergy, Robin Hood Energy, Ovo Energy and Green Star Energy are all offering dual-fuel tariffs costing under £860 a year, on average.
“In fact, all the top 10 cheapest dual-fuel energy tariffs available right now are from smaller suppliers.
“Many of these suppliers have good reputations for customer service and some have even scrapped early exit fees on their fixed-term tariffs, so often there can be nothing to lose by switching to one of these challenger energy companies.”
Mr Lewis adds that customers should “look beyond the brand” – it doesn’t matter what the name of your supplier, even if you’ve never heard of it before. You will still receive your energy through the same pipes and wires.