So, it’s that time of year again. Winter is almost behind us (although this week’s weather doesn’t seem to have got the memo) and we can rely on our boilers a little less.
So the question is, what damage has this cold season brought us? Unfortunately for future generations, it has been another unseasonably mild winter, so perhaps no burst pipes and very few people skidding on icy roads. However, what is going on in our pockets?
A bit of good news crept in today: a record 7.7m people have switched their energy contracts in the past year. This is the highest rate for 6 years (when doorstep energy selling/conning was still legal). On the face of it, a headline like ‘record number of people switch’ seems good but what isn’t highlighted is that actually only a third of UK households switched. That means a staggering two thirds of the UK are paying an eye watering £200 each more than they should be on their energy bills alone, largely due to the inertia created in the market. To the 16m people in the UK with less than £100 in savings, £200 cash in hand would be a vital lifeline.
Due to the consistently low energy switching rate, it seems that our government has created a market environment in which the industry can profit from inertia, therefore failing households in need of help. Having talked to hundreds of these people, we came up with Bean in order to help you track your energy and other recurring contracts, so you can keep that extra £200+ in your pocket.
The scary thing is that with energy price rises around the corner, the issue is about to get a whole lot worse for UK households… Better sign up for Bean then!
Bean is the first of a new breed of personal finance management tools. By linking your bank account to Bean, we will find and track all your recurring payments including your utility bills, mobile phone contract and loans. We help highlight contracts that you no longer need such as unused gym subscriptions, online TV streaming contracts and free trials that have overrun, helping you cancel these contracts in one click. Bean will then notify you, at the right time with the right information, if you can get a better deal on any of these contracts.