Britain's SMEs missing out on £2.4bn because they don't change energy suppliers

Love Energy Savings managing director Phil Foster
Love Energy Savings managing director Phil Foster

Failure to switch to cheaper energy suppliers has cost the UK’s SMEs a staggering £2.4 billion over the past five years, according to new research. A study by market analysts at Love Energy Savings has revealed that 30 per cent of the nation’s 5.4 million small and medium-sized businesses have not switched electricity or gas supplier over that time.

According to the latest research, only 47 percent of businesses have looked into the possibility of switching to another energy supplier or a different tariff in the last 12 months. Love Energy Savings managing director Phil Foster said: “We’re amazed that so many of Britain’s small business owners and managers are still missing out on the opportunities that exist to cut their energy bills.

“Our research has found that changing supplier and switching to a better deal gives businesses the chance to save an average of 40 per cent on their gas and electricity bills," he said. "That is money which could make a real difference to a company’s future. It is cash that could be invested into growth and employment, instead of going out of the business unnecessarily.

“It seems that many businesses are still either unaware of the potential for savings or find the process difficult to understand. We acknowledge that some SMEs may be on two or three-year contracts and, therefore, not up for renewal this year.

“However, the fact that less than 50 per cent of businesses have looked into the possibility of switching supplier or to a different tariff over the last 12 months highlights that there is still much to do to encourage and inform owners and managers of the options that are available.”