The Best Time To Switch Gas And Electricity

There is a best time to switch utility provider. We tell you how to spot this time, and say a few words for first-time switchers.

Customers are leaving British Gas in droves at the moment. That's because it's so easy to switch utility providers and, for most existing customers at least, British Gas is by far the most expensive gas and electricity provider of the six biggest companies.

And guess what? British Gas is raising prices again! This isn't a new hike though; this is the one it announced back in July (see Oh No, Not Higher Energy Prices AGAIN!), but the rise is taking effect from today.

It used to be that comparing utility prices and switching just once a year was a sensible practice and, despite paying as much as £300 extra for their lethargy, many people would rather keep doing this, if they bother to switch at all.

However, anyone who wants to save money on their bills will need to swap providers, and do so at the right times. With each of the major providers increasing their prices at least twice in the last twelve months, one concern of switching these days is the fear that the new supplier will increase its prices the moment you switch. The question, therefore, is 'When is the right time to compare and switch?'

When one of the big providers increases its gas and electricity prices, the others tend to follow shortly after. However, they don't increase them by the same amount, so comparing prices after all the providers have finished a round of price hikes is sensible.

Today's hike from British Gas was the last in the current round, which makes this week the optimum time to switch utility providers. If you've never done it before, you shouldn't be worried. From speaking to my friends and family who've switched they've all found it easy and had no problems with service or bills. No one needs to call round to your house, as the technical bit can be done remotely. Also, the changeover is without interruption to your gas and electricity.

I've had three different providers (British Gas, EDF Energy and npower), so I'm no novice to this and I've had no problems so far. This week, I'm going to use our simple utility price comparison tool to switch again and, until prices settle down, I'll be comparing prices every time the six biggest providers go through a round of increases...Or decreases! Oh, we can but dream.

One more thing: when you compare prices, you may find that, for you, British Gas actually are the cheapest! They do offer some good tariffs, it's just that most people aren't on them.

> For cheaper utility bills, compare gas and electricity prices now!

The Fool will keep you informed of price hikes and let you know when a round of increases has finished, so you'll always know when to look again.