Your heating is probably turned up to combat the latest cold snap – which means you might well be thinking about how much you’re spending to keep your home cosy. This month, we’ve found that the best energy deals could save you up to £128 per year.
It’s not a huge potential saving. In fact, it’s even smaller than last month, when we reported the smallest savings we’d seen this winter.
But it’s still worth considering switching energy provider if you’re on an expensive tariff. From 1 April your bills could increase by around £96 per year if you haven’t, because the energy price cap on out-of-contract energy deals is set to rise.
Previously when the cap has changed, out-of-contract prices with the biggest energy firms have moved with it.
Taking this into account, this month’s deals could save you more than £200 over the next year.
It takes around a month for your energy supply to move when you switch provider. So if you switch now, you’ll be in time to avoid a potential price increase.
The amounts are based on a household using a medium amount of gas and electricity. Your exact savings – or how much extra you could pay if your prices rise – depend on how much you use.
If you’re a seasoned switcher, or are looking for something a bit different, keep reading to see our round-up of innovative new energy tariffs.
Compare gas and electricity prices using Which? Switch, our independent energy comparison website, to see how much you could save on your energy bills.
You can also phone us on 0800 410 1149 or 01259 220235.
Top five cheapest gas and electricity deals
The tariffs we’ve listed here will save you at least £93 per year on your energy bills. This presumes that you’re currently on a tariff that costs the maximum permitted by the current price cap, use a medium amount of gas and electricity, and pay by monthly direct debit.
How much you pay for energy and the exact amount you could save by switching depends on how much gas and electricity your home and family use. Prices also vary by region.
|Company||Tariff||Annual price (medium user)||Fixed/variable||Exit fee||Savings compared with the price cap|
|1||Avro Energy||Simple and GoSwitcher – paperless||£914||Fixed||£30 per fuel||£128|
|2||Goto Energy||Goto Standard Variable Tariff – paperless||£932||Variable||n/a||£110|
|3||Entice Energy||Direct Saver – paperless||£941||Fixed||£30 per fuel||£101|
|4||Avro Energy||Simple and SuperSwitcher||£945||Fixed||None||£97|
|5||Eon||Fix Online Exclusive v60 – paperless||£949||Fixed||£30 per fuel||£93|
Prices are based on widely available dual-fuel tariffs for a medium user (Using Ofgem averages of 12,000kWh gas and 2,900kWh electricity), paying by fixed monthly direct debit with paperless bills. Prices are from Energylinx and are averages across regions, rounded to the nearest whole pound and correct on 10 February 2021.
All bar one of the cheapest deals this month are fixed. This means that your rates (the daily charge and price for each kilowatt hour of gas and electricity) will be fixed for the length of the contract. The price of Goto Energy’s deal could change if it raised or lowered its prices.
Three of the fixed deals come with exit fees. You have to pay these to leave the contract early – for example, if you spot a cheaper deal and want to switch. Avro Energy’s fixed deal has no exit fees, so you can change deal or supplier whenever you like.
Two of the five widely available cheap deals are sold by Avro. Along with Eon, it was included in our latest energy companies satisfaction survey. Before you switch, find out what customers think of Avro Energy and Eon.
Energy tariffs with a twist
Recently we’ve seen some new and unusual tariffs on sale.
Octopus Energy recently announced a local time-of-use tariff, which offers cheaper electricity when wind speeds increase. You can only sign up if you live near one of its two wind turbines – in Caerphilly and Market Weighton.
Called the ‘Fan Club’ tariff, it gives a 20% discount on the unit price for customers who use electricity when the turbines are spinning, and 50% discount when the wind picks up (to 8m/s in Market Weighton and 10.8m/s in Caerphilly).
There’s a £1 per week membership fee, but Octopus says customers could save around £229 per year by using this tariff. Find out what customers think of Octopus Energy.
Good Energy announced its plans to launch a tariff for electric vehicle (EV) drivers in ‘early 2021’. It will be a time-of-use tariff, giving customers lower rates for charging their EV outside peak times.
The cheaper rates will start earlier in the evening than other tariffs, it says. Full details are yet to be revealed.
See the best electric cars.
Green Energy UK’s Tide tariff charges different rates for electricity depending on when you use it. There are four different prices, or tides, in 24 hours. The cheapest ‘low tide’ is between midnight and 7am. The priciest ‘high tide’ is between 4pm and 8pm, when it costs four times as much to use electricity.
The firm explains that shifting your electricity use to off-peak times is ‘the most sustainable way to lower your energy bills’. See what customers think of Green Energy UK.
You’ll need a smart meter for these tariffs and be willing to change when you use electricity to get the most from the cheaper rates. If you know you can’t avoid using a lot of electricity in the early evening, these might not be the best choice for you.
If you don’t have one, find out more about smart meters.
Which? energy pricing research
Prices are based on widely available dual-fuel tariffs, paying by fixed monthly direct debit, with paperless bills. Energy use is based on Ofgem’s annual average figures for a medium user (12,000kWh gas and 2,900kWh electricity).
Comparisons are based on the current price cap, in place until 31 March 2021. From 1 April it will increase to the equivalent of £1,138 for a medium user.
Data is from Energylinx. Prices given are averages across regions, rounded to the nearest whole pound and correct on 10 February 2021.