Energy prices have maintained a steady level over the last few years, but with prices beginning to rise across the range of electricity and gas suppliers in the UK, now is the perfect time to make a switch and get cheaper energy this winter.
All households are feeling the pinch as prices rise for all utilities, amenities and groceries, with an average of £1,123 paid for energy per household in 2016. Higher energy bills have started to be introduced prior to winter but you can get ahead of the game and save some pounds by switching energy supplier and moving on to the cheapest tariff in your area before those price increases hit.
The cheapest energy tariffs available at the moment, pay closer to the £800 per year, per household than the £1,123 that you see above, so making the right switch now, could be saving your household hundreds of pounds each year.
Rule Out a Variable Rate Tariff
The first, and easiest, way to save money on your electricity and gas bills is to move away from a standard variable rate tariff. These are generally out of contract deals that all customers are moved on to once a fixed deal term has come to an end. They are the most expensive tariffs and can add around an extra £250 on average to fuel bills. These are also the tariffs that the utility companies can raise prices on.
Shop Around for a Good Deal
The time has long gone where choice was limited in terms of who supplies electricity and gas to your home, and the big 6 companies no longer have a stranglehold on the competition. There are a wide range of suppliers in each area, offering different types of discounts and rates. You have plenty of choice, from long-term fixed rates, variable rates, or green tariffs that could all help bring down the average annual cost of fuel below the £1,000 mark.
Switch to Save Money
Switching energy suppliers will always help you to save some cash, as you are only going to leave for something better. Now think about those people who have never changed energy supplier. if you are looking for an immediate reduction in your bills, switching now could save you money in the short-term and over the longer-term if you decide to switch to a fixed rate tariff. You can use a simple online tool to compare energy prices in your area and find the best deal for your household.
Remember, your energy bill will always show both the fixed standing rate charge and the price per unit of energy used. Online energy plans and direct debit payments are the best way to keep your costs down and you should always provide regular meter readings, rather than rely on estimates, in order to ensure fair and accurate payments throughout your contract.
Though switching gas and electricity supplier is a great way to save money, if you do receive an unexpected gas or electric bill that you can’t afford to pay until after payday, keep in mind that a payday loan from My Financial Broker can help.