The 26 million households with price-capped tariffs have been urged by USwitch.com to make sure their tariff is below the current energy price cap of £1,738.
This is because wholesale energy prices have reached a 15-month high due to a high demand for gas and electricity heightened by global instability.
Due to the rise in cost, households are set for a higher-than-expected increase to £1,847 a year before another £35 jump up in July, meaning total cost for energy will reach £1,872.
At the start of 2025, the cap rose by 1.2% for the period until 31 March, which was a slight increase of 1.2% on the previous amount for the period between 1 October and the end of December 2024.
It is divided into 24.86p per kWh with a 60.97p daily standing charge for electricity and 6.34p per kWh with a 31.65p daily standing charge for gas.
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While the price comparison site USwitch.com recommends a change to a fixed tariff, there are exit fees ranging between £25 and £75 to pay for four out of the cheapest five deals the price comparison site has ranked.
‘Now is the time to take action’
Elise Melville, energy expert at Uswitch.com, said: “If you haven’t switched energy lately, you are likely to be already paying over the odds, and the coming price hikes will only make things worse.
“Now is the time to take action, before the price rises hit. Any deal that is priced at, or below, the current cap level is likely to save you money over the coming year.”
Melville added: “If youʼre not ready to fix, then consider a tariff that guarantees a discount on the price cap, whether it rises or falls. EDF’s market-leading tracker promises a saving of £100 against the price cap over 12 months. The discount is applied to dual-fuel standing charges, so this deal is particularly suited to households that use less energy.
“Standard tariffs are now the most expensive way to pay for your energy. The good news is, a better deal is out there for most homes. Right now there’s a lot of choice available and it takes just minutes to compare your options and switch to a better deal.”
Here are the five cheapest fixed tariffs, according to USwitch.com.
Cheapest fixed tariffs
| Supplier | Tariff | Fix duration | Average annual bill | Saving vs. January cap (£1,738) | Exit fees | Availability |
| Outfox the Market | Fix’d Dual Feb25 v1.0 | 12 months | £1,623 | £115 | £25 per fuel | Direct via Outfox the Market |
| Outfox the Market | 18-Month Fix’d Dual Jan25 v6.0 | 18 months | £1,660 | £78 | £25 per fuel | Direct via Outfox the Market |
| Outfox the Market | 2-year Fix’d Dual Jan 25 v5.0 | 24 months | £1,662 | £76 | £50 per fuel | Direct via Outfox the Market |
| So Energy | So Wisteria Two Year – Green | 24 months | £1,684 | £54 | £75 per fuel | Uswitch.com, Confused.com, and direct via So Energy |
| Octopus Energy | Octopus 16M Fixed January 2025 v1 | 16 months | £1,722 | £16 | None | Direct via Octopus Energy |
