ScottishPower finally ends auto-rollover energy contracts

ScottishPower has become the last of the Big Six energy suppliers to act on auto-rollover contracts for small businesses. The energy company has announced it will stop offering auto-rollover contracts […]

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By Priyanka Shrestha

ScottishPower has become the last of the Big Six energy suppliers to act on auto-rollover contracts for small businesses.

The energy company has announced it will stop offering auto-rollover contracts to new small business customers from April next year and to existing customers later in 2014.

The firm is also reducing the period for back billing business customers from 24 months to 12 months starting in January next year.

The news comes as Ofgem launched its new code of conduct for energy suppliers to treat its customers fairly this week.

British Gas was the first Big Six supplier to announce an end to rollover contracts for small businesses last month, followed by npower, SSE and E.ON. EDF Energy will not be ending auto-rollover contracts but has launched a new tariff that won’t charge its business customers any penalty for leaving.

Neil Clitheroe CEO of Retail and Generation said: “We recently engaged with hundreds of our small business customers to understand what’s important to them and what they would like to see from their energy supplier. This valuable feedback has already helped to shape and inform our products, maintaining our commitment to service excellence and helping to build lasting relationships.”

ScottishPower has also committed to ensuring customers receive contract renewal information 60 days prior to their expiry date and giving them the chance to negotiate a new deal up to 30 days before their existing one expires.

Mr Clitheroe added: “At ScottishPower we are focused on using a range of communications to inform customers of renewal options and we continue to be the only supplier that sends its contract renewal documents by recorded delivery. This communication provides small business customers with the notice they need to take action, ensuring that important communications receive the attention they deserve.”