More than 418,000 UK households are being warned to act now or risk paying more for their energy.
The alert follows the energy price cap rising on April 1 to £1,690 a year for a typical household, under Ofgem’s latest update.
Many customers are reaching the end of fixed-rate deals they secured in spring 2024, when prices were lower.
If they don’t switch, they’ll be moved to their supplier’s standard variable tariff (SVT), which is often more expensive.
A total of 73 fixed deals issued between March and May 2024 are nearing their expiry. Some are ending within days — others, within hours.
For example, the Outfox the Market Fix’d Dual Mar24 v1.0 tariff, which offered a typical annual cost of £1,535, expired yesterday. E.ON Next’s Fixed 12m v10 deal, costing £1,665 a year, ends on Tuesday, April 15.
Customers on this E.ON tariff who don’t switch will see their annual bill jump by £313 if they revert to the price cap, rather than locking in a cheaper new deal.
These fixed tariffs were popular last spring when rates were more favourable and gave customers price certainty.
Fixed deals charge the same gas and electricity rates throughout the contract, offering protection if the price cap goes up.
If customers take no action, they’ll be automatically switched to their supplier’s SVT. But there are better deals currently available.
Outfox the Market is offering the cheapest open-market deal: its Fix’d Dual Apr25 12M v2.0 tariff costs £1,549 a year — £141 below the price cap. It comes with a £50 exit fee for dual-fuel households.
If customers take no action, they’ll be automatically switched to their supplier’s SVT
OCTOPUS ENERGY
Outfox also has the lowest-priced 18-month fix at £1,559 a year. E.ON Next’s Fixed 14m v5 deal costs £1,635 annually and has no exit fee.
To find the best tariff, customers can check price comparison sites such as Uswitch.com or MoneySavingExpert’s Cheap Energy Club. Some suppliers also send exclusive offers directly to customers.
For those unsure about fixing long term, flexible tariffs may be an option. British Gas’s Price Cap Guarantee and EDF’s Ensure Tracker both give a £50 discount off the price cap for a year.
The energy price cap rose in April
PA
Sometimes, suppliers offer special promotions directly to customers.
Customers unwilling to commit to long-term fixed energy deals may want to consider flexible tariffs.
British Gas’s Price Cap Guarantee and EDF Energy’s Ensure Tracker work similarly, offering a £50 discount off the price cap’s charges for 12 months.
Octopus Energy offers two variable tariffs which track wholesale gas and electricity costs.
These include Octopus Tracker with daily price fluctuations and Agile Octopus with prices changing every half hour.
Octopus Energy also offers two tariffs that follow wholesale prices: Octopus Tracker, with daily changes, and Agile Octopus, which updates every 30 minutes.
Households are being urged to review their tariff now to avoid a sudden rise in bills.
