Full list of suppliers cutting fixed energy bills from October

THOUSANDS of households on fixed energy tariffs with several suppliers will see their bills cut next month.

Over six million households are currently on a fixed energy tariff.

These customers have now been told they will receive a discount under the new Energy Price Guarantee.

From October 1, bills are set rise to an average of £2,500 a year from £1,971.

Last week, Liz Truss confirmed the new Energy Price Guarantee, saving families from bills of £3,500 a year.

However, a loophole in the new rules meant that those on fixed tariffs could end up paying more than the Energy Price Guarantee cap due to the way the discount would be applied.

Now, British Gas, EDF, Octopus Energy and Ovo Energy have confirmed that none of their customers on fixed tariffs will be hit by this loophole.

E.ON, E.ON Next and Shell Energy have also confirmed that they'll cut bills for those on fixed energy tariffs as well as waive exit fees for those looking to move contracts.

The new rules mean that customers on expensive fixed deals can simply move on to the cheaper standard variable tariff, which is protected by the Energy Price Guarantee, free of charge.

Bulb, Scottish Power and SO Energy are yet to disclose how they'll compensate their fixed energy customers.

We've listed how each firm plans to compensate those on expensive fixed energy tariffs.

British Gas

British Gas has said that all its customers on fixes with a higher unit rate than the EPG will be automatically switched to pay the lower rates.

A spokesperson for the firm said: "We think it’s the right thing to do to move people who are on fixed tariffs that would benefit from the Governments Energy Price Guarantee automatically.

"As a responsible supplier we need to make things as simple as possible for our customers."

EDF Energy

EDF Energy has confirmed that it will suspend its exit fees for those wishing to move off a fixed deal and onto the standard variable tariff.

A spokesperson for EDF said: "We want to make sure all our customers can benefit from the Government’s support and to provide reassurance that they are paying a fair price for their energy, so have decided to temporarily suspend exit fees for those switching from a fixed to our standard variable tariffs with immediate effect.

"Customers, including those on fixed tariffs, will see their prices automatically adjusted to reflect the Government’s price guarantee and do not need to do anything."

Octopus Energy

Octopus Energy confirmed customers who are on fixed deals who are facing paying more than £2,500 this winter will automatically be moved onto the standard variable tariff.

A spokesperson said: "There are still people on fixed deals who will pay more than the £2,500 Energy Price Guarantee. 

"It would simply be unfair if we left them to shoulder those high costs on their own, without any financial support.

"So we’ve decided to move all our customers on those tariffs onto our price guaranteed standard variable product at no extra cost for them."

Ovo Energy

Ovo fixed energy customers will not be charged an exit fee to move on to the standard variable tariff.

A spokesperson for Ovo Energy said: "For some customers, depending on when they fixed, the variable tariff could now be the cheapest option.

"Any customer who wants to switch from a fixed tariff to a variable tariff can do so for free.

"OVO will waive all exit fees to enable customers to move onto its variable tariff."

What about the other energy firms?

E.ON and E.ON Next and Shell Energy has also confirmed that they will waive the exit penalties for those on high cost fixed looking to move on to the standard variable tariff.

We are waiting on the details from these three energy firms and will update the story once we have heard back.

We have also contacted Bulb, Scottish Power and SO Energy to find out whether they will allow their fixed energy customers to move to the variable rate.