More free to switch their energy firm

The biggest six energy suppliers – British Gas, EDF, Eon, SSE, Scottish Power and npower – will allow customers on prepayment meters with debts of up to £500 to switch from November 1 in a bid to help them cope with utility prices which have jumped sharply in recent years.

Currently, only customers with debts of £200 or less are allowed to switch.

There are some 320,000 gas and 315,000 electricity customers with prepayment meters who owe money to their supplier, according to energy regulator Ofgem, and it is thought tens of thousands will be helped by the move.

In most cases they racked up the debts when they were allowed credit and were slapped with prepayment meters as part of a repayment plan.

The increase in the threshold at which customers can switch will be backed by a drive from suppliers to raise awareness of switching and making it easier to switch.

Allowing consumers to switch should help them repay their debts more easily.