An independent energy provider is claiming people in Sheffield are one of the worst for overpaying on their gas and electricity bills.
Bosses from First Utility said Steel City folk could have overspent by as much as £38.3 million in 2016 and is urging people to look at switching their provider. Only people in three other UK cities overspend more on their energy bills than Sheffield.
“Some people have been on the same tariff when they first moved into their new home and they could be overpaying by hundreds of pounds,” First Utility MD Ed Kamm told Action Desk.
“Even if people don’t switch to us, we want people to know the truth they could get a much better deal.
“We want to expose the tactics of the big energy companies so consumers in Sheffield can take action and save on average around £300.”
First Utility has been touring the country and stopped off in Sheffield to chat to Action Desk about what they call a ‘shocking’ overspend.
Mr Kamm said according to energy regulator Ofgem ‘70 per cent’ of customers with the one of the big six companies are on the standard variable tariffs.
These are price plans people get put on if they do not make a decision when a homeowner or tenant could switch – people moving into a new home is the prime example.
This is supposed to be a temporary measure but nothing is usually done.
“We think there is nothing standard about those tariffs; they’re in essence the ‘penalty tariffs’,” Mr Kamm said.
“It’s the price you end up on if you don’t make a decision and as a result that tariff could be £300 dearer than the best price on the market for the exact same gas and electricity and the big six think they can get away with it because they try their best to hide their best deals from customers.”
Mr Kamm is urging Sheffield people to switch provider for the chance to save hundreds of pounds on their bills.
“Loyalty gets you nothing – ironically there are people who have been with the same provider for years and they’ll be paying hundreds of pounds more.
“What’s the harm in having a look? It’s a lot more simple than some companies make out.
“It’s quite shocking stuff. This is money that could be in people’s pockets and would go a long way if this money was spent in the local economy.
“All you need is your bill, know who you’re with and what tariff you’re on and you plug the information in and you can find out how much you can save.
“The actual switching process is entirely handled by the new provider so as the consumer you do is chose your tariff and the new company will ask for the meter reading nearer the time of the switch.”