Since the start of the year, five ‘Big Six’ energy suppliers (EDF, Npower, E.On, SSE, and Scottish Power) have announced steep increases of between 8-10% in their standard tariff, leaving millions of households in the UK paying around £100 more for their gas and electricity bills.
The various reasons cited for these price hikes include the weakening of the pound compared to the US Dollar, an increase in wholesale costs, and the expense of delivering the national smart meter rollout (a government policy that energy suppliers are required to deliver by 2020).
And although other large energy suppliers have yet to announce price rises of their own, it’s a safe bet that it’ll just a matter of time until all standard tariffs go up. In the past few months we have noted an average increase of 10p per day on the standing charges of some energy suppliers, which will impact the poorest in society because it is charged regardless of much much energy is used. To compound matters, the Guardian recently reported that there are 77 fixed-price tariffs due to expire before the end of April, meaning thousands of UK households will automatically be moved onto an expensive standard tariff unless they take action.
This is why it is vitally important for people to switch, to make sure they are not paying over the odds on their energy bills. Last year, we collectively overpaid £2 billion too much to energy suppliers because 88% of us didn’t switch.
If someone is currently on a standard tariff, BHESCo would recommend that they sign up to a fixed tariff as soon as possible and lock in to a good price for 12 or 24 months. For households whose fixed tariff is due to expire soon, you can switch to a new fixed tariff up to 40 days in advance of your current contract ending, without having to pay an exit fee. Details of your tariff expiration date can be found on your bill.
There are various energy tariff comparison websites you can use, but BHESCo finds My Utility Genius the easiest.
If you would like free and reliable advice on finding the best energy tariff for your home, please contact BHESCo today:
phone: 0800 999 6671