Nationwide Building Society is today announcing that it will offer members six-months free subscription to Switchd (This link will open in a new window), a company that automatically switches people’s energy supplier to ensure they are always on the best deal.
COVID-19 has had a detrimental impact on the finances of many households – a situation that may be exacerbated when the furlough scheme ends as unemployment is likely to rise. One way people can save money is to switch energy deals on a regular basis.
For members worried about the impact of climate change, Switchd also allows people to switch solely between green energy suppliers. This follows Nationwide's pledge earlier this year to make £1 billion available to reduce the carbon footprint of Britain’s homes. Nationwide believes incentives for consumers are the only realistic way to help people make their homes greener.
Switchd searches deals from across the whole market including the big six suppliers and smaller players. On average, a typical UK household who use Switchd save around £320 a year on their energy bill, with the average customer switching to a new deal every six to nine months.
To get the offer, members will need to visit the Nationwide website to access the link to the dedicated page for members on the Switchd website.
Switchd factors in any exit penalties that may be payable for leaving a deal early to ensure this doesn’t wipe out the benefit of switching. Customers are also emailed as they start the switching process and have a two-week period to cancel the switch if they change their mind.
Customers can manage their accounts online or via the Switchd app. The dashboard for managing their accounts allows them to submit meter readings and log any preferences, such as only switching to green energy suppliers or setting a minimum saving for a switch to occur.
After six months, members can continue with one of Switchd’s paid-for plans which start from £1.99 a month. These plans ensure access to 100 per cent of the market, rather than just those that pay a commission for switching, which free switching services rely on and may not be the cheapest. However, Switchd will not charge a penny until they can save customers £50 a year or more. A free version is also available, but this only gives access to suppliers that pay a commission.
Louise Prior, Director of Membership Propositions at Nationwide Building Society, said: “Utility costs are usually one of peoples largest outgoings after mortgage or rent payments yet very few people switch on a regular basis. This means that many households are paying much more than they need to. At the current time when many household finances are stretched, we wanted to be able to support our members and help them make their money go further.
“A typical household could save around £320 a year, but people with larger or less efficient houses could potentially save much more. Also, with the ability to select green energy tariffs, members could save money while helping save the planet.”
Llewellyn Kinch, co-founder of Switchd, said: “Over 50% of UK households are on their energy supplier’s most expensive tariff, simply because they’ve not switched their energy recently. This is unfair at the best of times but is especially unfair while everyone is dealing with the impact of COVID-19.
We’re proud to be teaming up with Nationwide to offer 6 months of our service free to Nationwide members. We chose to work with Nationwide because of our shared values – providing a hassle-free service to our members, helping them to build financial security.”