The six-month moving average for energy switches has settled at around 225,000 in May 2024 for the sixth month in a row.

This is less than half the moving average before switching plummeted in 2021 after multiple supplier failures. From early 2019 to late 2021, the moving average fluctuated between 480,000-550,000 changes of supplier (CoS) per month.

Extensive public and industry debate has emerged following Ofgem’s consultation on removing the ban on acquisition-only tariffs. End users and industry leaders have rejected the idea that removing the ban would be a positive move for helping customers to reach better energy deals.

However, ElectraLink data shows that lower introductory tariffs, among other market factors, do increase CoS rates. ElectraLink’s Chief Data Officer, Paul Linnane, recently told Utility Week:

“Switching has been limited since the Covid-19 pandemic ebbed away and the energy price crisis emerged. Whilst the recent increase in switching [in April] highlights that demand for cheaper and innovative tariffs is increasing, I believe that the BAT is still limiting that demand. ElectraLink’s switching data identifies that the majority of consumers would be outside their fixed term with their supplier.

“Furthermore, our analysis of our unique switching dataset highlights that, pre-energy crisis, the time window between a consumer switch reduces every time a customer switches. Therefore, with all customers currently outside of their fixed tariff window, we’d actually expect to see “record levels” of switching if acquisition tariffs were available.”

CoS completed chart from December 2021.

There were 228,000 switches last month – 49 percent more than May last year but 21 percent less than April 2024 when contract renewals among non-domestic customers resulted in an expected boost in CoS.

There have been 1.162mn CoS this year so far compared to under 800,000 for the same period in 2023.

Chart showing monthly energy supplier switching levels in GB until May 2024
CoS completed from May 2024.

In terms of switching types, all decreased with the overall total from April and Other-Other CoS had the highest percentage drop.

  • Large to Large switches reached 162,000 – 16 percent less than April 2024 and 60 percent of May 2024’s total CoS completed,
  • Large to Other switches totalled 55,000 – 12 percent less than April 2024 and 21 percent of May 2024’s total CoS completed,
  • Other to Large switches reached 47,000 – 35 percent less than April 2024 and 14 percent of May 2024’s total CoS completed,
  • And Other to Other switches landed at 24,000 – 44 percent less than April 2024 and six percent of May 2024’s total CoS completed.

Chart showing monthly energy supplier switching levels by supplier type in GB until May 2024

For more information on CoS figures, or to find out how your organisation can access the CoS data we hold and provide for the energy market, contact [email protected].

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NOTES:

The above figures relate to electricity CoS in Great Britain only.

We do not include CoS from SoLR processes or trade sales in our monthly CoS reporting. We account for only voluntary switches, or instances where the customer made an active decision and took action to change supplier, including after a contract expired.

All data is provided by EMPRIS.

ElectraLink has been granted the governance protections to hold, transfer and analyse CoS and other data.