Sorting out energy when moving house UK sits near the bottom of every moving day to-do list. Do I need to set up energy when I move in? Yes - the moment you move home you become liable for the electricity bill. Who supplies energy at my new house? Whoever the previous occupant used, and they keep supplying energy under a deemed contract at the Ofgem energy price cap maximum (£1,862 a year for a typical Direct Debit dual-fuel household after the Q3 2026 price cap announcement). Most movers never get around to switching. Competitive fixed deals were sitting £150-£250 below the cap at the start of June. That gap is the cost of inertia.
What is a deemed contract energy tariff?
Deemed contract energy is the automatic supply agreement that kicks in the moment you take ownership or start a tenancy. Ofgem rules cap the deemed energy rate at the supplier's standard variable tariff - effectively the default tariff new home owners inherit. That cap is what suppliers can charge at most: £1,862 Direct Debit, £1,812 prepayment, and £2,005 standard credit in Q3 2026. The cap stops a deemed rate going higher, but does not make it competitive. A fixed rate tariff or any decent energy deal routinely sits below the cap, because suppliers price those to win new customers, not to defend existing ones. The result: you pay for your energy at the priciest line on the menu by default.
New build energy supplier: who picks it and why bills run higher
If you bought a newly built property, it is usually worse. Developers arrange bulk supply contracts during construction with new build energy supplier picks like British Gas, E.ON Next, or OVO (which absorbed SSE Energy Services). The developer picks what is cheapest for the build phase, not what is cheapest for the homeowner. You inherit a deemed contract from day one with no competitive rate, and a real chance the gas connection runs through an Independent Gas Transporter.
Why new build gas standing charges are higher (the IGT problem)
Many new-build estates run gas through an Independent Gas Transporter (IGT) instead of the National Grid. The developer pays less upfront, the homeowner pays more for the lifetime of the connection - an Independent Gas Transporter IGT network typically charges 50-100% higher standing charges, around £80 extra a year on gas alone. Not every supplier works with every IGT, and new postcodes can take weeks to appear in the central switching database. British Gas and OVO bake IGT surcharges into their headline tariff instead of billing them separately, so on an IGT estate those two are often the cheaper headline before any wider comparison.
Quick check: ask the developer whether the gas connection is on the National Grid or an Independent Gas Transporter. Failing that, search the meter point reference number (MPRN) at Find My Supplier.
How much does staying on the default tariff cost?
Annual gas and electricity bills at typical energy usage land at £1,862 a year on the price cap. A new-build on an IGT with a pass-through supplier adds roughly £80 in standing charges. Standard credit pushes the headline above £2,000. The cheapest fixed rate tariff clears the lot by £200-£345 a year in energy costs.
| Scenario (typical dual fuel) | Annual cost | Gap vs cheapest fix |
|---|---|---|
| Q3 2026 price cap (Direct Debit) | £1,862 | +£150-£250 |
| Cap + IGT standing charge surcharge | ~£1,942 | +£230-£330 |
| Standard credit (bill on receipt) | £2,005 | +£290-£390 |
| Cheapest competitive fixed tariff | ~£1,610-£1,710 | Baseline |
Over five years in the same property, that is between £750 and £1,650 in avoidable cost. The SwitchPilot tariff tracker publishes the live gap by region using the revised TDCVs introduced in Q3 2026.
Skip the deemed contract: try EDF FreePhase Dynamic
Your default tariff charges the cap maximum at every hour of the day. FreePhase does the reverse - around 192 free electricity hours a year flagged by text, an 11.5p overnight Green band from 11pm-6am, and a 75p/kWh ceiling so the worst case is still capped. Most importantly for a mover: no exit fee. If it does not fit your new home's usage pattern after one billing cycle, you walk away free.
Switch to EDF FreePhase Dynamic →*Affiliate disclosure - the EDF FreePhase link above is an affiliate link. SwitchInsights earns a commission when readers switch through it, at no extra cost to you. That commission has zero influence on what we write. FreePhase appears here on merit because the no-exit-fee structure and overnight band genuinely fit a new mover's situation - households with no shiftable load are better off on a fixed deal, and we earn nothing for that advice.
How to switch energy when moving: the first-week plan
Moving day: meter readings
Photograph both meters before unpacking - the first reading is also the previous occupant's final meter reading. Note any supplier letters left in the property.
Identify the supplier
Gas: Find My Supplier. Electricity: the ENA postcode tool gives your network operator.
Register, ask for cheaper
Call the supplier with move-in date and readings. Ask for their cheapest tariff, not the deemed rate. You have 28 days to settle in before any cooling-off clock matters.
Switch energy supplier
Compare on the SwitchPilot tariff tracker and switch energy supplier in week one - the new supplier handles the transfer.
Special cases worth flagging
Prepayment meter moving house: call the supplier before topping up - previous occupants sometimes leave debt on the meter, and a top-up clears their balance, not yours. Smart meter moving house: SMETS1 meters can drop to "dumb" mode when you switch, depending on the supplier; SMETS2 keep working. New build on an IGT: prioritise a surcharge-absorbing supplier or factor the IGT charge into every quote. Setting up energy in new house from scratch (rare): if the meter has been disconnected, ask the supplier to commission a new MPAN/MPRN before you move in.
Can renters switch energy supplier?
Renting and switching energy comes down to who is paying for the energy directly. If your name is on the bill and you pay the supplier directly, the switch is your decision - Ofgem rules give tenants the legal right to switch energy supplier even where the tenancy agreement names a preferred supplier. If energy is included in rent or the landlord's name is on the bill, the legal customer is the landlord, so the tenant cannot switch.
Moving house energy checklist (renters and owners): day 1, photograph both meters and register with the existing supplier. Day 2-3, ask for their cheapest tariff. Week 1, compare on the SwitchPilot tariff tracker and start a switch if a cheaper fix exists. Switch completes in around five working days under the Faster Switching Service.
How SwitchInsights tracked this
SwitchInsights pairs Ofgem's confirmed Q3 2026 cap unit rates with live energy market data from our tariff tracker, weighted across daily standing charge, unit rate, and any IGT surcharge. The £1,862 cap figure comes from the Ofgem confirmation of 27 May 2026. Switching times use the Faster Switching Service rules.
SwitchInsights' take: the trap is silent - no warning text on the first bill says "this is the most expensive tariff this supplier offers". The cap is a ceiling, not a competitive price. Twenty minutes in the first week of moving in cleans up the next five years of bills. Compare against the live gap on the SwitchPilot tariff tracker before the to-do list buries it.
Energy when moving house 2026: FAQ
What is a deemed contract in energy?
The automatic supply agreement you inherit when you move in. It runs at the supplier's default tariff, capped at the Ofgem maximum (£1,862 a year, typical Direct Debit dual fuel, Q3 2026). It continues until you actively switch.
How much can I save by switching energy when moving house?
Typically £150-£250 a year against the Q3 2026 cap. On an IGT network, picking a surcharge-absorbing supplier saves a further £80. The combined gap can clear £300.
Can renters switch energy supplier UK?
Yes, if your name is on the bill and you pay the supplier directly. The landlord cannot block it. You cannot switch if energy is included in rent or the landlord's name is on the bill.
Why are new build gas standing charges so high?
A private gas pipeline network used on many new-build estates. Standing charges run 50-100% higher than the National Grid. British Gas and OVO absorb the surcharge; most other suppliers pass it on.
How long does it take to switch energy when moving house?
Around five working days under the Faster Switching Service, with the Energy Switch Guarantee protecting supply. You then have 14 days to change your mind, with the full switch settled within 28 days.
Does a prepayment meter in a new home need extra care?
Yes. Call the supplier before topping up - previous occupants can leave debt on the meter, and a top-up would clear their balance, not yours.