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Top five energy deals for August: how will the new energy price cap affect you?

In the midst of a heatwave, the idea of needing to turn your heating on might seem ludicrous. But the chillier days of Autumn aren't all that far away and, to help with energy bills, Ofgem has set the new default energy tariff price cap at its lowest-ever level of £1,042 for a medium energy user.
Coming into effect in October 2020, it will ensure consumers on standard and default tariffs are not ripped off in this economically uncertain winter.
Although the announcement means tighter restrictions on the price of default tariffs, if you're on one of these you could still save hundreds of pounds by ditching it entirely and switching to one of the best energy deals.
Even compared with the new price cap, the current cheapest tariff on the market would leave a medium user £254 a year better off. And a medium user switching now could save £339 with the cheapest deal on the market compared with the current price cap of £1,127.
The price cap changing doesn't necessarily mean energy prices will go down with it. And with oil prices still recovering from an all-time low in spring this year, now may be a good time to grab a cheap deal.
Already on a great deal? Discover more ways to keep your gas and electricity costs down with our guide on how to save on energy bills.
Top five cheapest gas and electricity deals
The five cheapest dual-fuel energy tariffs on the market for a medium user, based on the amount a household could expect to pay for gas and electricity provision over the course of a year, are ranked in the table below.
Prices and available tariffs vary by region so you could pay more or less depending on where you live and how much energy you use.
We've also calculated how much you'd save compared with the current price cap limiting how much suppliers can charge per kilowatt hour (kWh) for electricity and gas. Until October, this is set at £1,127 per year for a medium user.
Company | Tariff | Price (for a medium user) | Fixed/Variable | Exit Fees | Savings compared to price cap | |
1 | Outfox the Market | One Green Flex 2.0 (paperless) | £788 | Variable | n/a | £339 |
2 | Green | CherryBlossom (paperless) | £800 | Variable | n/a | £327 |
3 | Outfox the Market | One Green Flex 2.0 Plus (paperless) | £804 | Fixed | n/a | £323 |
4 | Igloo Energy | Igloo Pioneer (paperless) | £805 | Variable | n/a | £322 |
5 | Avro Energy | Simple and SuperGlow (paperless) | £810 | Fixed | n/a | £317 |
Prices are from Energylinx based on tariffs available in all regions* in England, Scotland and Wales for a medium user (using Ofgem averages of 12,000kWh of gas and 2,900kWh electricity per year), paying by fixed monthly direct debit, with paperless bills. Prices are averages across regions, are rounded to the nearest whole pound and correct on 7 August 2020. *Igloo Energy is available in 13 of the 14 regions |
Only two the five cheapest deals available this month are fixed for a year. This means your energy costs will not move with the market. Neither of these tariffs have exit fees so you can always switch if you see a better deal without any additional costs.
The other three cheapest deals this month are variable, meaning that the price could change after you sign up. However, your energy company is required to give you 30 days' notice so you can switch and avoid being stuck paying a higher price than you agreed to.
Compare gas and electricity prices now using Which? Switch, our independent energy comparison website.
You can also phone us on 0800 410 1149 or 01259 220235.
Cheapest energy deals from Which? Recommended Providers
This table shows the cheapest deals from each of our Which? Recommended Providers (WRPs) for energy. These companies performed well in our assessment of their procedures, as well as being highly regarded by customers.
These deals are not the cheapest on the market but make up for it with high-quality customer service - and you'll be saving compared to the price cap.
Company | Tariff | Price (for a medium user) | Fixed/Variable | Exit Fees | Savings compared to price cap | |
1 | Pure Planet | 100% Green 12m Fixed Jul20 v1 (paperless) | £842 | Fixed | £30 per fuel | £285 |
2 | So Energy | So Aubergine Essential - Green - Seasonal Payments (paperless) | £860 | Fixed | £5 per fuel | £267 |
3 | Octopus Energy | Exclusive Octopus 12M Fixed July 2020 v2 (paperless) | £862 | Fixed | N/A | £265 |
Prices are from Energylinx based on tariffs available in all regions in England, Scotland and Wales for a medium user (using Ofgem averages of 12,000kWh of gas and 2,900kWh electricity per year), paying by fixed monthly direct debit, with paperless bills. Prices are averages across regions, are rounded to the nearest whole pound and correct on 7 August 2020. Suppliers included are the current Which? Recommended Providers for energy. |
This month's best deal from a WRP comes from Pure Planet, though both So Energy and Octopus Energy are offering tariffs for only £20 more a year for a medium user.
Octopus' cheapest tariff this month is about £40 cheaper than the previous best tariff from the supplier, so now may be the time to bag a good deal from our highest-rated WRP. Bonus points for the tariff having no exit fees.
Discover the best and worst energy companies from this year's survey and learn why you should pick one of our WRPs.
Which? energy pricing research
Prices are based on a dual-fuel tariff available in the regions stated, 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 per year).
Data is from Energylinx. Prices given are averages across regions, rounded to the nearest whole pound and correct on 7 August 2020.