Seeking a better deal from your broadband, pay TV, and energy suppliers? While you know it could save hundreds of pounds, you might wonder if it's worth the hassle.
Often, it only requires one call or a couple of clicks—and banks even offer incentives to customers who switch their main current accounts.
Regulators have simplified the switching process in recent years, encouraging consumers to shop around amid rising cost of living pressures.
Which deals are best for you depends on your circumstances, but here are some of the ways switching works.
'One touch' broadband switch
Virgin Media was recently fined £28 million by regulator Ofcom for repeatedly preventing customers from cancelling contracts.
The communications regulator revealed tactics including agents deliberately hanging up calls and customers being put on hold "for no reason." Millions of customer calls were likely mishandled over a three-year period, preventing or delaying customers from switching to better broadband, landline, or pay-TV deals.
Anyone switching now should not face the same difficulties. Ofcom's One Touch Switch service, launched in 2024, means you only need to contact your new provider—not negotiate with the old one.
Ofcom advises checking whether you are in or out of contract, as exit fees may apply.
Some customers switch due to dissatisfaction with their current supplier's service.
Many switch to save money, and some may still call their current provider to negotiate a better deal or ask them to match an offer available by switching.
Paid to change bank
In the past, most people opened a bank account early in adulthood and kept it for decades.
Now, competition drives banks to attract new customers by offering cash incentives to switch—but only if you use their current account as your main account.
Many hesitate due to the perceived complexity of moving wages, direct debits, and other payments.
The Current Account Switch Service now handles most of the work.
You provide the account and debit card numbers for the account you are leaving to your new bank and select a date for the switch (which can take up to seven days).
Behind the scenes, the service automatically transfers direct debits and standing orders, moves your balance, redirects incoming payments such as benefits or salaries, and closes your old account.
If anything goes wrong, you will be refunded any interest and charges on both your old and new accounts.
If you have an overdraft, you must check whether the new bank offers overdraft coverage; if so, the owed amount will be switched automatically. If not, you will need to pay it off.
Doing your homework on energy switch
Switching energy suppliers and tariffs has also been simplified by regulator Ofgem, but there are key factors to consider, including:
- Payment method can significantly affect your bill—paying monthly by direct debit is typically £140 a year cheaper than receiving a bill every three months.
- Falling behind on previous bills can prevent switching to a new supplier.
- Deciding between a fixed tariff, which locks in prices per unit of gas and electricity for a set period, or a variable tariff.
As with broadband, you only need to contact the new supplier to switch.
Ofgem states the new supplier will require your postcode, current energy supplier's name and tariff, the price you pay per unit of energy (in kilowatt hours - kWh, shown on your bill), and your annual energy usage. Most of this information is available on bills or energy statements, and switching services can assist.
The switch can take five days, and you have a 14-day cooling-off period during which you can cancel the switch without penalty.
It is important to take meter readings to ensure accurate billing by both your old and new suppliers.
