GoCompare comments on energy price cap legislation
“Any move that helps customers save money on their soaring energy bills is to be welcomed, but the introduction of a cap is not without concerns”
Georgie Frost, consumer advocate at GoCompare Energy, said: “The energy market is in a state of flux at the moment with the proposed energy cap and suppliers planning to scrap, or already having scrapped, their expensive Standard Variable Tariffs (SVTs). We await more detail about exactly how it would work and how much it will save people.
"While it is great that the government is focusing its attention on protecting those energy customers who can’t or won’t help themselves and trying to fix the broken energy market, a cap is not without risk to competition.
"People could be lulled into a false sense of security, believing they don’t need to move suppliers because any cap will guarantee cheap energy bills or a good deal. It won’t! It always pays to shop around and switch, as the savings will generally be much greater. We run the risk of heading into next winter with millions still paying over the odds on default tariffs, assuming that the cap will reduce their bills.
“The message from policymakers should be clear; protect the most vulnerable and promote the switching revolution which has been gathering pace over the last couple of years. We need to maintain that momentum and encourage more households to take control of their bills. You don’t need to wait months to save money, you can do it now.
“So the best advice for anyone on an SVT or default tariff is to switch now as they could save hundreds of pounds, rather than wait to see what happens with the energy cap.”
For more information or to compare energy tariffs today, visit: www.gocompare.com/gas-and-electricity/.
For further information please contact:
Anders Nilsson or Martyn John at GoCompare on 01633 654 054 / 01633 654 725
Gordon, Jason or Liz at MAW Communications on 01603 505 845
Keep up-to-date with GoCompare on Twitter; @GoCompare
Notes to editors
GoCompare is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.
GoCompare does not charge people to use its services, and it does not accept advertising or sponsored listings, so all product comparisons are unbiased. GoCompare makes its money through fees paid by the providers of products that appear on its various comparison services when a customer buys through the site.
GoCompare does not sell its customers’ data.
When it launched in 2006, it was the first comparison site to focus on displaying policy details rather than just listing prices, with the aim of helping people to make better-informed decisions when buying their insurance. GoCompare has remained dedicated to helping people choose the most appropriate products rather than just the cheapest, and has teamed up with Defaqto, the independent financial researcher, to integrate additional policy information into a number of its insurance comparison services. This allows people to compare up to an extra 30 features of cover.
GoCompare is the only comparison website to be invited to join the British Insurance Brokers’ Association (BIBA) and is authorised and regulated by the Financial Conduct Authority (FCA).