More than 100 energy tariffs end soon: Act now to avoid overpaying
A total of 100 fixed energy tariffs will end over the next two months and with more people than ever working from home amid the coronavirus pandemic, bills could soar this winter.
Research from price comparison site MoneySuperMarket revealed that tariffs ending include deals from the ‘Big six’ energy firms such as British Gas and EDF, as well as challengers including Octopus and Shell.
However, more than half of UK households have never switched or have only switched once, and are on more expensive ‘default’ and ‘standard variable’ tariffs as a result. This means many households are paying hundreds of pounds more for their energy.
This is despite energy regulator Ofgem’s energy price cap which limits what suppliers can charge customers (per unit of gas or electricity) on standard tariffs. MoneySuperMarket said these customers could save an average £169 switching to the cheapest fixed rate tariff.
It lists 76 tariffs that are cheaper than the current cap of £1,041, based on average consumption figures.
While many of the 107 fixed rate deals ending over the next two months include exit fees, Brits are allowed to switch suppliers within 49 days of their tariff end date without being charged a fee – meaning those with a fixed rate tariff ending in November and December can start shopping around for a competitive tariff now.
MoneySuperMarket also revealed that three in five energy accounts are in credit with an average surplus of £88 while one in 10 are in debt by an average of £95.
Stephen Murray, energy expert at MoneySuperMarket, said: “Under the spring lockdown we saw domestic energy use increase as people spent more time at home. With this second lockdown taking place in the run up to winter, we should be prepared for an even bigger increase in demand and, in turn, an increase in energy bills.
“With many households’ finances under increasing pressure, ensuring you’re paying the lowest rate for your energy is a simple step you can take to reduce your bills. If you’re on one of the 107 fixed rate tariffs that’s coming to an end over November and December, make sure you shop around for new tariff options and don’t slip onto your supplier’s costly default tariff. Despite Ofgem’s new lower price cap of £1,042, many tariffs are up to £169 cheaper than Ofgem’s price ceiling.”