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Top five energy tariffs cheaper than the price cap
Brits are being urged not to rely on the energy price cap to bring down the cost of their bills, as switching deals could save households over £194 a year.
On 1 October, the UK’s energy regulator Ofgem implemented a new energy price cap that limits rising energy costs for those on standard variable tariffs (SVT) to £1,042.
But while this cap means bills will be kept as low as possible, the average Brit will still be spending more than they need to, research by MoneySuperMarket found.
In fact, there are more than 80 cheaper tariffs currently available, according to the research.
Some 99.9% of those on a SVT are able to save by switching, the price comparison website estimated. With about 50% of UK households on SVTs, this means 11 million Brits could save.
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One of the cheapest tariffs currently on the market – E.ON’s Fix Online Exclusive V50 – is £172 cheaper than the cap, at £870 per year, and comes with 100% renewable electricity as standard.
Meanwhile, the cheapest available option, Outfox the Market's Once Green Flex 4.0 tariff, comes at just £846 a year – £194 less.
Top 10 cheapest energy tariffs in the UK
Outfox the Market, One Green Flex 4.0 (£846)
Outfox the Market, Fix’d 20 14.0 (£854)
Green, Maple (£854)
Utility Point, Just Up 20 Wk39 (£869)
Green, Sturgeon (£870)
E.ON, Fix 1 Year Exclusive September 2020 v2 (£870)
E.ON, Fix Online Exclusive v50 (£873)
Shell Energy, Energy January 2022 (£874)
Green Network Energy, GNE Summer Sizzler v9 (£876)
Pure Planet, 100% Green 12m Fixed September20 v1 (£883)
The price cap figures vary across different regions – the ‘Manweb’ power region, which includes Manchester and Liverpool, has the highest regional price cap at £1,076 on average annually.
Meanwhile, cities like Nottingham and Leicester in the east midlands have the lowest average cap, at £1,008.
The east of England has the most households on SVTs across the entire nation, at 12%. This includes Norwich and Ipswich and totals over 1.3 million households, the research found.
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It is followed by the south of England, including Southampton and Portsmouth, at 10% and East Midlands at 9%
With colder months now approaching, and energy use expected to rise, bill payers should switch suppliers to make the most savings, rather than relying on the bill cap, advised MoneySuperMarket.
“Winter is very much around the corner and we’re expecting higher than normal energy usage this year with more of us working from home as a result of social distancing measures, said Stephen Murray, energy expert at MoneySuperMarket.
“As a result, if you haven’t switched your energy supplier for a while, you should consider it. This is especially the case if you’re on an expensive standard variable or default tariff as you’re likely to save money as a result.”
“Relying on the price cap to reduce your bills could result in you missing out on hundreds of pounds of savings.”
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