Market Overview

SmartDebit responds to Government plans to automatically place Direct Debit customers on lowest tariff


The industry experts at UK-based firm, SmartDebit, have responded to plans by the Government to introduce legislation requiring energy companies to offer their cheapest tariff.

(PRWEB UK) 29 October 2012

The proposed legislation by Prime Minister David Cameron surprised many when he announced the plans in the House of Commons last week.

Mr Cameron said the Government were considering adding legislation to an upcoming energy bill which would require energy companies to put some Direct Debit customers on low tariffs, with the right to opt out. The Government said it aimed to make the system more transparent and promote competition between companies to offer the cheapest tariff.

One of the options being examined is that people on a variable tariff who pay by Direct Debit could be informed by their provider that they were going to be automatically switched to the lowest variable Direct Debit tariff from the same provider. The option would mean that people could opt out if they wanted to.

SmartDebit has responded to the news with interest:

“This proposed legislation shows another benefit of paying energy bills by Direct Debit. It is already one of the cheapest ways of paying energy bills but these proposed changes could offer another benefit to Direct Debit customers. Paying bills this way allows better money management and often better tariffs.”

SmartDebit is the UK's leading Direct Debit Bureau, specialising in payment processing services since 1998. A Bacs approved Bureau, scoring ‘Excellent' in all five categories of the Bacs audit, and ISO 27001 compliant. Providing a complete range of services: Outsourcing; SmartDebit-Admin cloud based portal; SmartDebit-Online payer sign up; SmartDebit-API integrated solution and SmartDebit-Contingency.

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