Despite experiencing a 23% decrease from the previous month, energy switching rates remained robust in May, according to a report by ElectraLink. The month saw 154,000 completed energy supplier switches, marking a significant increase of almost 68% compared to the same period last year.
Experts attribute the drop in switching numbers from April to May to the typical pattern of higher rates in April, which is influenced by annual contract expirations, particularly among small and medium-sized enterprises (SMEs). However, analysts anticipate a significant surge in energy supplier changes in the coming months due to the introduction of the new Ofgem default tariff price cap in July and the availability of fixed-rate tariffs from suppliers.
Year-to-date, a total of 800,000 switches have already taken place, surpassing the 518,000 recorded in the first five months of the previous year. The report also highlights that the largest decline in supplier changes compared to the previous month occurred in switches from "Other" suppliers, followed by switches from "Large" suppliers to "Other" suppliers. Meanwhile, switches from "Large" suppliers to other "Large" suppliers accounted for 57% of the total completed switches in May 2023, reaching 87,000 and marking a 14% decrease from April 2023.
Source: energylivenews.com