Brendan Flattery, CEO of the UK’s leading energy and utilities consultancy, Utilitywise, has suggested that the real figure for the number of businesses who have switched water supplier for the second quarter of 2017/18 is just 1%.
The comment follows on from the release by Market Operator Services Ltd (MOSL) last week of its second CEO Quarterly Market Review which reported 2.3% of businesses switched during the period.
MOSL’s switching figures show that 25,010 supply points switched water retailer in the past 3 months - 61,311 water supply points in total have switched since 1st April 2017.
According to Utilitywise, its own analysis suggests that the number of businesses who have switched water supplier is just 1% as small businesses often have two meter points.
Utilitywise is calling on Defra Minister Michael Gove to release the figure for the number of businesses who have switched water supplier since deregulation as a true measure of its success.
Brendan Flattery, CEO of Utilitywise, said:
“The water market deregulated on 1st April, but we have learnt today that just 1% of businesses have switched water supplier, showing that the water market is still not truly open.
“It beggars belief that there has been a decrease in switching over the past quarter, proving once again that Ofwat has not been given the authority to enforce policies which would result in better deals for customers.”
He added that at the current rate of switching it would take until 2039 for all businesses across England to switch water supplier.
In July the Utilitywise chief wrote to Michael Gove, Secretary of State for DEFRA, to outline a three-point plan to make the water market truly open, honest and competitive.
Brendan Flattery commented:
“Our proposals aren’t rocket science or costly, but simple measures such as publishing standardised pricing models so that businesses can compare different water contracts and find the best deal for them. Currently, businesses have to individually contact more than 20 water suppliers– an arduous task for business owners trying to reduce their bills.
“Michael Gove must empower Ofwat with the strength and authority to fight for small businesses, whilst releasing the figure for the number of businesses who have switched water supplier so far.”
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