Utility Warehouse Energy Review

The Utility Warehouse (UW) is a club-based organisation that supplies all types of utilities to UK households.

Their services include gas, electricity, broadband and other services. It works differently from traditional energy suppliers. Here’s our review to explain what happens when you’re a customer.

The Utility Warehouse, owned by the Telecom Plus Group, offers cheaper electricity prices than a British Gas standard tariff but in a way that is different from most other suppliers. Utility Warehouse has changed its set-up in recent years and now has over one million customers. Some sceptics have called their business model a scam, and Martin Lewis will not recommend them. However, some advantages to their scheme could make it the right company for your utility needs.

How does Utility Warehouse work?

There are three basic aspects to the business model.

1. Utility Warehouse can provide tariffs for electricity, gas, mobile phones, broadband and insurance. Each standard tariff will be reasonably competitive but usually not class-leading.
2. You only receive lower prices if you take out additional utilities, and you must take at least two products. The best rates usually apply if you take all services.
3. A majority of new customers sign up via UW’s partner network. Partners receive an average bonus of £250 and £30 per year for each new customer introduced.
4. Using the UW cashback card offers up to 10% credit off your monthly bills at retailers such as Aldi, Argos, Boots, Ikea, Primark and over 50 others.

Once you’re a customer of Utility Warehouse, you can become a partner and earn commissions from introducing new customers. There is a small set-up fee to pay to manage your account, but no additional costs.

Current UW domestic energy tariffs

Here is a selection of prices we’ve obtained for a typical customer.

Fixed Saver 27

New customers must take two additional services. Existing customers must have three services, with one added in the past 45 days.

• Gas 6.24p/ kWh plus 21.43p/ day
• Electricity 24.50p/ kWh plus 44.35p/ day
• Exit fee £75 per fuel
• Average saving against Q4/2024 price cap is 7%

Fixed 27

New customers must take one additional service. Existing customers must have two services, with one added in the past 45 days.

• Gas 6.24p/ kWh plus 25.54p/ day
• Electricity 24.50p/ kWh plus 48.46p/ day
• Exit fee £75 per fuel
• Average saving against Q4/2024 price cap is 6%

The rates for both tariffs are fixed until 30th September 2015. Both deals require a smart meter. UW uses E.ON as their energy supplier for gas and electricity contracts.

Example UW broadband prices

A key benefit of using UW broadband is there are no price hikes during your contract. Most other broadband providers increased prices each March. UW uses the TalkTalk network as their broadband supplier.

• 35Mbps £26 per month
• 63Mbps £30 per month

All prices quoted above are correct as of 9th October 2014.

Utility Warehouse business energy prices

Currently, there are no energy or utility tariffs available for business users. We’ll update this page if these become available in the future.

Additional discounts for shareholders

If you hold at least 1,500 shares in Telecom Plus Plc, you’ll receive special shareholder tariffs that are approximately 10% lower than the standard UW variable tariff. In addition, you also receive a 10% rebate on non-energy services such as broadband or insurance. Some terms and conditions apply. As of 9th October 2024, 1,500 shares would cost £27,190.50 at a price of 1,812.70p per share. So, this is not something an average customer would likely consider.

Utility Warehouse online reviews

After looking at some of the reviews for this company online they vary from one extreme to another. Either “customers” hate them or love them. There seems to be no middle ground, and you could be forgiven for thinking that those five-star reviews by “Anonymous in London” might not be a real customer.

The overall Utility Warehouse reviews score is currently 4.4, far higher than the industry average. Here’s a recent review posted on Trust Pilot:

I’ve been with Utility Warehouse for four years now, and I’ve had no issues whatsoever. My bundle includes gas, electricity, broadband, four sim cards and I’ve also taken three mobile handsets in the past. I’m always surprised that the cost is less than most people pay for two services. The customer service is always professional and helpful in dealing with my queries.

We recommend undertaking your own research and speaking with a friend or colleague who uses these services. Martin Lewis does not recommend the concept, so that in itself rings some alarm bells.

Utility Warehouse homeowners’ prices and tariffs

Unlike some energy companies, Utility Warehouse displays the prices of most products on their website. You may need to take out many additional services to get the lowest prices available. The process to swap all services over to UW will take time as you need to wait until various contracts expire. Then, you’ll be tied into one company.

In the past, UW products were not competitive and wouldn’t make the best-buy tables, but recently, that has changed, and there are reasonable deals to claim.