British Gas, OVO, EDF, EON, Octopus customers can bank a free £148 – all by switching their supplier. The average annual energy bill in England, Scotland and Wales has been hiked to £1,738 from January 2025, as the price cap rises by 1.2 per cent.
Elise Melville, energy expert at price comparison website Uswitch.com, says there are “significant savings” on offer, and that “the average household could save up to £148 per year against the January price cap by switching to a 12-month fixed deal”. .
That saving is on the Big January Sale – Fix’d Dual v1.0, from a company called Outfox the Market. Ms Melville says customers who are in debt may be able to switch suppliers if their unpaid bill is less than 28 days old – otherwise, they will need to pay off what they owe before they can move.
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However, she says: “Even if you’re in debt, it’s worth checking if you can save by moving to a new deal with your current supplier, which could help you to lock in lower rates.” Emily Seymour, the energy editor at the consumer group Which?, says: “You should compare what your monthly payments would be on a fixed deal with what you’d expect them to be if you remain with the price-capped variable tariff to see what the best option is for you.
“As a rule of thumb, we’d recommend looking for deals cheaper than the price cap, not longer than 12 months and without significant exit fees.” Caroline Abrahams, the charity director at Age UK, said: “Older people, struggling without their winter fuel payment, who were praying for a reduction in energy prices to help them in the new year, will be bitterly disappointed today.”
Alex Belsham-Harris, the head of energy policy at Citizens Advice, said: “As colder weather sets in, we’re particularly worried about households with children and those on lower incomes, who are most likely to struggle with their heating costs.
“Without government action, millions are at risk of being left in the cold this winter and beyond. We’re calling for the urgent introduction of energy bill support that is targeted at people who need it most.”