Why switching to save money is easier than you might think
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- Ofcom fined Virgin Media £28m for repeatedly preventing customers from cancelling contracts over a three-year period, using tactics including agents deliberately hanging up calls and placing customers on hold "for no reason"
- Ofcom's One Touch Switch service, launched in 2024, now lets consumers change broadband, landline or pay-TV providers by contacting only the new supplier — not the one they're leaving
- The Current Account Switch Service automatically transfers direct debits, standing orders, balances and redirects incoming payments such as salaries and benefits, with switches typically completed in seven days
- Banks offering cash incentives to switch current accounts must refund interest and charges on both the old and new accounts if anything goes wrong during the migration
- Under Ofgem rules, paying monthly by direct debit for energy is typically £140/year cheaper than receiving a bill every three months, and the switch itself takes five days with a 14-day cooling-off period
- Customers with unpaid bills from their current energy supplier are blocked from switching to a new provider, and Ofgem requires taking meter readings to ensure correct billing by both the old and new supplier
Why it matters: UK consumers now face far less friction when switching broadband, bank accounts and energy, with Ofcom's 2024 One Touch Switch and the Current Account Switch Service automating the heavy lifting. The £28m Virgin Media fine for blocking cancellations shows regulators are willing to penalise providers that obstruct consumer choice — and consumers choosing direct-debit energy payments alone can save roughly £140 a year.
