Energy firm gone bust? How your new firm and tariff stacks up – MoneySavingExpert

If you were with MoneyPlus Energy, as it was a very small supplier and wasn’t on comparison sites, we don’t have its historical pricing. You’ll be moved on to British Gas’s ‘Price Promise Apr 2022’, the same tariff those with PFP Energy will be moved on to.

How do I find out exactly how much more I’ll be paying?

Exactly how much you’ll be paying depends on how much you use and where you live, but it’s easy to get a rough idea via our Cheap Energy Club.

We list all of these suppliers in the club, so you can choose them as your current tariff and do a comparison against that. Luckily, this can help give you an idea of how much you’ll pay on your new tariff. Here’s how:

  • Step 1: Go to Cheap Energy Club and select the tariff you were on (if you’re already a member, it’ll be there automatically). If you’re an existing Cheap Energy Club member, just log in and you’ll see what you pay now when you do a comparison (provided your account is up to date). If you’re not, create an account and then choose your old tariff as your current tariff in your account. Run a comparison, and at the top of the page we’ll show you how much you’re paying on your current tariff. Take a note of that figure.
  • Step 2: Choose your new provider’s standard tariff in your account. Head back to your account page, then change your current provider to the supplier that will be taking over your account. Make sure you have its standard tariff selected as your current tariff as well (it should do it automatically, but check). Again, do a comparison and check the top of the page, where we show how much you’re paying your current tariff. Jot that down.
  • Step 3: Compare the two. You should now have a figure for how much you would have paid over a year on your old tariff, and how much you’ll pay over a year on your new provider’s standard tariff. As the new tariffs for most of the bust suppliers largely follow the price cap (though Octopus is slightly under), this will give you a rough idea of how much more you’ll be paying.

Is this the cheapest deal, or should I be switching?

No, all the deals for people with bust suppliers are at, or around, the new price cap from 1 October. There is nothing on the market cheaper right now. You can do a comparison now if you like, but you almost certainty won’t find anything cheaper, as explained by Martin in MSE’s weekly email.

We’re working on getting these new tariffs into our Cheap Energy Club, but if you really want to do a comparison now, here’s how:

  • Step 1: Go to Cheap Energy Club and select the new provider’s standard tariff. You’ll need to log in or create an account and then choose your new provider’s standard tariff as your current tariff in your account.
  • Step 2: Do a comparison. As these new tariffs will, for the most part, follow each provider’s standard tariff, you should get an accurate comparison (though it may be slightly off for Octopus).

Energy credit is protected even if you left the company recently – so you won’t lose any money you’re owed

You may be owed money by your old supplier if your account had built up credit. In this scenario, the supplier Ofgem appoints will pay you back any money you’re owed – this applies even if you’d already started to switch away before the firms went under. Here, the Ofgem-appointed supplier should get in touch to arrange a refund – even for those who won’t have been switched to it – but this can take a while.

If you owe money, you will likely still have to pay it. Payments will either go to your former supplier, the administrator or to the new supplier. The new supplier will let you know how this works once it’s taken over.

If you are in the process of switching, your switch will still go through

If you’ve already started to switch away from a bust supplier, you will continue to be moved to the new supplier you have chosen. You should not need to do anything. Your direct debit to your current supplier should be cancelled automatically, but check anyway, and if not, cancel it manually after your switch completes. Any outstanding credit will be paid to you by the supplier Ofgem has appointed to take over.

If you’re in the process of switching to one of the bust firms, the switch should go through as planned, although you will then be automatically switched to the new supplier Ofgem has appointed to take over.

You don’t need to cancel your direct debit, but it’s fine if you already have

There’s no immediate need to cancel your direct debit. Ofgem says your new supplier will contact you soon to explain how it will take on your account, including any direct debit arrangements.

Ofgem says you can cancel your direct debit before the new supplier contacts you if you want to though. If you’ve already cancelled it, there’s no need to reinstate it, and your new supplier will explain what to do once it gets in touch with you.

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