Market indicators show competition is growing in energy
Competition is increasing in the domestic energy market according to the latest report from Cornwall Energy. The number of customers buying their gas and electricity from small suppliers is on the up and there are more companies fighting for business than ever before.
The October update, commissioned by Energy UK, shows:
- The market share of small suppliers is now at 9%, which is a 5.9% increase on the same time last year.
- More than one million customers moved from a large supplier to a small one.
- The number of companies offering dual fuel, gas and electricity deals is at an all-time high at 25.
- There are now seven companies with more than one million customers.
Angela Knight, chief executive of Energy UK said:
“Once again we can confidently say competition is growing in the energy market, according to the report from Cornwall Energy. The growth of small suppliers is a clear sign customers are reacting to the range of choice on offer to them from companies large and small. In a sector with 27 million customers, market shares don’t change overnight. However, the Cornwall Energy competition reports and the Energy UK monthly switching reports have shown a trend. They show a trend of growing competition, a wider range of choice and a customer base more engaged and willing to shop around.”
Notes to editors
- This research was carried out by Cornwall Energy for Energy UK, an independent energy consultancy.
- The figures in the report are correct as of 31 July 2014.
- The report judges competition based on the number of competing suppliers, market shares and the Herfindahl-Hirschman Index of market concentration.
- View the Cornwall Energy Report on competition in the domestic energy market.
- View the previous Cornwall Energy report on competition in the household market.