A new company launched by Prince Harry’s childhood friend is aiming to dramatically bring down the cost of electricity bills for customers this winter.
Tom Inskip, who studied at Eton like Harry, is almost ready to start serving electricity and gas to customers through his company Alfred, which expects to launch fully later this year.
Inskip, who was a guest at Prince Harry’s wedding to the Duchess of Sussex, claims customers could save up to £1,000 a year through the company’s membership-style scheme.
The company is billed as an everything-provider covering a range of household services – including energy, broadband, mobile phone and insurance – and at wholesale prices rather than retail, which traditional energy providers use.
Inskip will charge a £195 membership fee so customers can gains access to these lower prices, labelling it “the last switch” people will need to make – rather than hunting the best deal down each time their existing contract expires.
Alfred was set up two years ago and, since then, Inskip has spent time arranging deals with insurance and communication service provider firms, along with securing an Ofgem licence.
“We are setting it up as the last switch you will ever have to make because our job beyond the annual membership is to make sure you are paying the lowest possible prices,” Inskip, 39, was quoted as saying in the Times.
He added that the pricing structure which will put Alfred lower than other providers should mean they are the cheapest option other than if another firm offers a limited-time deal.
Get a free fractional share worth up to £100.
Capital at risk.
Terms and conditions apply.
ADVERTISEMENT
Get a free fractional share worth up to £100.
Capital at risk.
Terms and conditions apply.
ADVERTISEMENT
“We don’t make money if you spend more, so that alignment hasn’t existed before. Long term, [rivals] can’t beat us [on price], but periodically you can, with a loss leader.”
Inskip says the model means households would save more money, the more services they use – or in pure energy bills terms, the more electricity they would normally typically use, the more chance they’d save money beyond the initial membership fee.
According to company research, a household with high energy use and mobile phones could save as much as £1,000 annually.
Alfred have also pledged to reimburse and refund the membership if customers opt to leave because they are not saving.
The company has ambitions to build up 50,000 members in three years – its stated breakeven point – and Inskip insists it is a solution to saving both money and time taken to constantly find best deals and move each contract.
“This is a £180 billion industry: energy, mobile, broadband, home insurance, car insurance and breakdown cover,” he said. “And we are left with no good choices as a consumer. Thirty per cent of us switch from provider to provider. That takes up time, not hours but days, in terms of researching, haggling, actually switching.
“So you’re either overpaying by a thousand pounds a year on average or you’re dedicating the time, but none of us are winning. There is a solution now, which is a single provider.”
