Customer satisfaction falls in energy survey

21st February 2018

Two small energy suppliers have left the big six energy companies trailing when it comes to customer satisfaction according to a new survey by Uswitch.com. Challenger supplier Octopus Energy, which launched in 2016 and is included in the report for the first time, takes first place for overall customer satisfaction with a score of 96%. It also comes top in four other categories including customer service and billing services.

Bulb, another supplier making its debut in the report. It achieves second for overall customer satisfaction with a score of 92% and triumphs in five other categories including value for money, account management and green services. Satisfaction for OVO Energy, the overall top supplier in the past three years, has dropped by 9%. OVO Energy now comes in fourth place overall, behind Utility Warehouse, as all top three spots go to new entrants.

The annual uSwitch Energy Customer Satisfaction Report surveys over 17,000 energy customers, and ranks Britain’s big six suppliers and nine independent providers.

While overall customer satisfaction has dropped 2.5% in the last year, the new entrants have all performed strongly. In fact, the top seven suppliers in this years’ report have all scored more than any of the big six energy companies have ever managed, demonstrating the strength of choice now on offer for customers.

The drop in overall satisfaction ends a prolonged period of general increases in this area, possibly due to a round of price rises for customers on Standard Variable Tariffs. In fact, the individual satisfaction score for all previously included suppliers has decreased since last year, with the exception of ScottishPower. With an overall score of 71%, ScottishPower has the highest overall customer satisfaction of the big six suppliers, earning the Large Supplier of the Year crown, a title held by E.ON for the past five years.

Energy customers are clearly impressed by the offerings from newer suppliers but less enamoured with the larger and more established players – highlighted by the fact that every big six supplier is at the bottom of the table. There is a head and shoulders gap of 5% between ScottishPower and the next supplier, Sainsburys Energy, which is itself owned by British Gas. Meanwhile, npower remains at the bottom of the table for the 10th consecutive year, despite seeing the biggest improvements in customer service and billing services.

Table: overall customer satisfaction

Rank Energy supplier Overall customer satisfaction score Change
1 Octopus Energy 95.6% New entrant
2 Bulb 91.6% New entrant
3 Utility Warehouse 89.8% New entrant
4 OVO Energy 85.6% -9%
5 FirstUtility 84.9% -2%
6 Utilita 81.1% New entrant
7 Green Star Energy 81.0% New entrant
8 The Cooperative Energy 77.9% New entrant
9 Sainsburys Energy 76.1% New entrant
10 ScottishPower 70.6% +1%
11 SSE 70.5% -5%
12 EDF Energy 70.1% -7%
13 E.ON 69.8% -9%
14 British Gas 68.0% -7%
15 npower 65.0% -2%

Source: uSwitch.com Energy Customer Satisfaction Report 2018

Claire Osborne, energy expert at uSwitch.com says: “Following a year which saw widespread price hikes to poor-value Standard Variable Tariffs, it’s no surprise to find that consumers aren’t as happy as they were before. But consumers are clearly impressed with what’s on offer from challenger brands as an alternative to the larger and more established suppliers, demonstrating the level of competition and choice we see in the energy market today.”

“Octopus Energy have stormed the rankings and takes the crown for supplier of the year. The fact that two smaller companies – Octopus and Bulb – have won the majority of this year’s awards, sends a strong message to the more established players that customers will look elsewhere if they don’t feel they are being treated properly.”

Greg Jackson, CEO of Octopus Energy says: “We’re thrilled that Octopus topped uSwitch’s survey of 17,000 energy customers. It’s proof that customers can have lower prices, excellent service and sustainable energy. Companies like Octopus are revolutionising this vital sector for the better and we urge customers of all suppliers to demand better or vote with their feet.”

Hayden Wood, co-founder of Bulb, says: “At Bulb, we strive to make energy simpler, cheaper and greener. So it’s humbling that our members helped us be named as the best supplier in categories including easiest to switch, best value for money and best for green services.

“In the last 12 months we have signed up nearly 300,000 members, suggesting that families are fed up with poor customer service and expensive, confusing tariffs. More and more households recognise they can switch to a better and greener deal without paying over the odds.”

Colin McNeill, Head of Retail at ScottishPower says: “We have consistently seen improving performance in industry surveys this year for the services we offer to customers.  We are pleased to be the highest ranked large supplier, and to see our overall score moving in the right direction.

“The energy retail market in the UK is dramatically changing and across 2018 we will be launching a range of new products and partnerships to continue improving the services that we offer to our customers.

“We speak to our customers every day, and we have the most engaged customer base of the larger companies. This has helped us to lead the industry in switching people away from standard tariffs, and the feedback we receive from customers will also help us to continually deliver a better standard of service.”

Chris Thewlis, customer services director at npower says: “It’s disappointing as we’re currently receiving the second lowest number of complaints per 100K customers out of the ‘Big Six’ – and we’ve reduced complaints by 75% in the last 4 years.  However, we’re encouraged to note the results show we have the biggest year-on-year improvement of all suppliers in several categories, including customer service, billing and online services.”