Consumers were left disappointed today after OFGEM announced a tiny drop in the energy price cap.
The reduction will kick in on April 1st; but, after wholesale prices collapsed over the last year to ten year lows, many were hoping for more.
The energy price cap limits the amount suppliers can charge an average usage household if they are on an expensive standard tariff. Over half the population (about 35 million unlucky people in 15 million homes) are on these costly tariffs.
Typical gas and electricty bills will come down by less than 2% from £1,179 a year to £1,162 a year as a result of the change.
However the cheapest deals cost just £785-£855 a year, up to £377 less. Put simply, this shows that being on a standard tariff is “a mug’s game” which is just going to make your supplier rich and you poor.
The cheapest deals include green, fixed price and major supplier deals so they often have better features too.
If you’d rather not be “mugged off” then switch and save. We’re currently giving away £50 cashback to dual fuel switchers through this link.
Terms and conditions on the site.