Rules change allows thousands to switch energy supplier

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Rules change allows thousands to switch energy supplier

New rules introduced yesterday will now make it easier for gas and electricity customers to switch supplier.

Prepayment meter customers owing less than £100 to their supplier may now switch to a cheaper supplier.

Firms want to retain customers owing money to ensure they collect their debts, with a process known as "debt-blocking" used to prevent customers from switching supplier.

The energy regulator Ofgem has revealed that as many as a million customers may benefit from cheaper power as a result of the changes

Ofgem's Managing Director of Customers and Supply, John Neilson, told the BBC: "Now some of the most vulnerable customers will be able to enjoy the benefits of switching to a better deal and save money on their bills."

People on prepayment meters often pay more than customers who are billed for energy after using it.

Energywatch, the energy consumer watchdog, said the new industry-wide agreement may help people reduce their debts.

However, it also called for the £100 limit to be increased, pointing out that the average energy debt is currently around £150.

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