End of auto-rollover energy contracts fo

End of auto-rollover energy contracts for businesses

Small businesses will no longer be locked into ‘automatic rollover’ energy contracts after five of the UK’s ‘big six’ energy companies agreed to end the practice.

British Gas, npower, SSE, EDF and E.ON have all agreed to abolish the practice of ‘rolling over’ energy contracts without the business’s knowledge.

The Federation of Small Businesses (FSB) welcomed the move following a five-year campaign to bring about the change.

A quarter of the FSB’s small business members have been locked into rollover contracts once their fixed-term deals expired. In many instances, this resulted in them being unknowingly signed-up to an additional 12-month contract with un-negotiated price increases.

Unlike domestic consumers, business customers are responsible for contacting their current or new supplier if they want to switch or negotiate a new contact.

Business energy contracts typically last between one and three-years, with many unaware of the window for negotiating, switching or ending contracts.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s