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Chart of the Week

2019

Suppliers adopt winter weighting to reduce debit balances

Kate Hill Senior Analyst

Typically, 75% of gas demand and 57% of electricity demand is in the winter months. Over the last two to three years we have seen an increase in the number of suppliers implementing a winter weighting to their direct debit payments, whereby they charge customers more for energy over the winter months and less in the summer months to help manage their cashflow. This year, as the colder weather starts to set in, we have already seen four suppliers state intentions that they will adopt a weighting approach. Suppliers have implemented winter weighting in a variety of ways. Ahead of its exit, ...

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