Switching broadband, banks and energy suppliers made easier as households look to cut bills
New rules and switching services are making it quicker for households to move broadband, bank accounts and energy suppliers as families search for savings amid ongoing cost of livi
By BBC News
Households looking to reduce their monthly bills are finding it easier to switch broadband providers, banks and energy suppliers thanks to changes designed to remove many of the barriers that previously put customers off changing.
With the cost of living continuing to squeeze household budgets, regulators are encouraging consumers to shop around rather than automatically renewing existing contracts or remaining on expensive standard tariffs.
One of the biggest changes has come in the broadband market. Since September 2024, customers moving between providers on the Openreach network have been able to use Ofcom’s One Touch Switch process, which means they only need to contact their new provider. The new company arranges the transfer, reducing paperwork and helping to avoid accidental loss of service.
The regulator has also taken action against companies that make it unnecessarily difficult for customers to leave. Earlier this year, Virgin Media was fined £28 million by Ofcom after an investigation found customers experienced unreasonable obstacles when trying to cancel services, including lengthy waits and poor handling of cancellation requests.
Current account switching has also become increasingly competitive.
Many banks continue to offer cash incentives to attract new customers, while the Current Account Switch Service transfers direct debits, standing orders and regular payments automatically. The service also closes the old account and guarantees customers will not lose money if something goes wrong during the switch.
Most current account switches are completed within seven working days, making it one of the quickest ways for customers to take advantage of better banking offers.
Energy customers are also being encouraged to compare tariffs regularly as suppliers compete for new business.
According to Ofgem, customers paying by monthly Direct Debit can typically save around £140 a year compared with those paying on receipt of quarterly bills, although savings vary depending on supplier and individual circumstances.
Switching energy supplier is generally completed within five working days once the 14-day cooling-off period has expired. Customers usually need to provide their postcode, current supplier, tariff details and annual electricity and gas usage when requesting a quote.
Consumer groups recommend comparing the overall cost of any deal rather than focusing solely on headline discounts.
Exit fees, contract lengths, introductory offers and future price changes can all affect whether a switch represents genuine long-term value.
For households facing rising living costs, regularly reviewing essential household services such as broadband, banking and energy remains one of the simplest ways to reduce monthly spending without cutting back on day-to-day necessities.