Simplifying energy prices could lead to more consumers switching suppliers.
That’s according to new research, which found 91% of people spotted the cheapest deal when shown simple prices compared to 43% who picked the correct choice under the current system.
The average time people took to choose a tariff under simple pricing was 36 seconds in comparison to 55 seconds under the current pricing format.
Simple pricing allows consumers to compare the cost of energy tariffs at a glance, similar to how petrol prices are displayed on forecourts, without needing to know their usage.
Consumer body Which? is calling on the Competition and Markets Authority (CMA) to recommend suppliers to introduce simple energy pricing so consumers can switch faster and save money on their energy bills.
Its research, conducted jointly with EDF Energy, also found almost half (47%) of the 2,500 people questioned would switch their energy tariff when looking at the simple pricing table compared to 38% who saw the current format.
Which? Executive Director Richard Lloyd said: “In a truly competitive energy market people should be able to spot the cheapest deal at a glance, making it easier to switch supplier.
“It’s encouraging that one of the country’s largest energy suppliers is backing simple pricing. The current energy market investigation is a golden opportunity to put consumers first by introducing simple pricing.”