Big Switch proves to be turn-off

A SCHEME which tried to “sell” thousands of energy customers to the energy company which offered them the lowest price for fuel was only a partial success, according to consumer watchdogs.

The Big Switch, which was run by Which? and backed by the government, was won by Co-operative Energy, who said they could save 30,000 people £123 a year on their energy bills.

However, many big utility companies decided not to sign up for the reverse auction – and the numbers who could actually benefit from the scheme is not as great as was hoped.

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Last night it emerged that another company, First Utility, had already beaten the deal offered to Big Switch customers – undercutting the cheapest yearly offer by £1. Ann Robinson, director of consumer policy at uSwitch.com, said: “The Big Switch was a brave and bold move, but the outcome is disappointing.

“Some 280,000 people signed up, and yet the winning deal will only be offered to 30,000 people on a first-come, first- served basis.”

If more than 30,000 people choose to switch, they will receive a fallback offer from EDF energy – but this is a tariff which is already on the market.

Richard Lloyd, Which? executive director, said the scheme had empowered consumers. “The Big Switch has moved the energy market and secured a better deal for thousands of people, reaching people who have never switched before.”

Energy and climate change Secretary Edward Davey said: “This is a fantastic outcome for the Big Switch. As a long-standing proponent of collective purchasing, I am pleased to see the concept being made a reality in the UK, and on such a scale.

“It’s a very encouraging outcome for collective switching in the UK energy market. ”

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