Half a million households face £241 hike in energy bills – how to avoid it
Some 588,000 energy customers will be automatically rolled onto more expensive "default" tariffs if they don't switch to cheaper deals
HALF a million households face paying up to £241 more a year for gas and electricity, a comparison website has warned.
More than 588,000 energy customers will be automatically rolled onto more expensive "default" tariffs if they don't switch to cheaper deals, research by Compare the Market has found.
By September, 169 fixed energy tariffs are coming to an end and this will push up bills for customers.
Consumers are being urged to shop around for new tariffs now.
They are allowed to organise a move within six weeks of their existing rate ending without penalty.
Peter Earl, from Compare the Market, said: “It is easy to forget about your energy bill during the summer months, particularly with record-breaking temperatures hitting the nation.
“With many fixed tariffs soon coming to an end, it is essential to engage with your supplier and shop around, to avoid being rolled onto these expensive default tariffs by switching provider."
The bill rises come after some energy firms, including EDF Eneergy, SSE and British Gas, revealed plans to hike costs for millions of customers.
Plans to cap standard tariffs - usually the most expensive - have been given the go-ahead by MPs.
But customers will still have to wait a few months before plans are finalised and prices will be capped.
How to switch suppliers and save £300
SWITCHING suppliers is the best way you can cut your energy bills. But recent research from MoneySuperMarket found that households are throwing away up to £300 a year by not bothering. Here's what you need to do.
1. Shop around - If you're on an expensive Standard Variable Tariff (SVT) deal you are throwing away up to £300 a year. Use a comparison site like MoneySuperMarket.com or EnergyHelpline.com to see what best deals are available to you.
The cheapest deals are usually found online and are fixed deals - meaning you'll pay a fixed amount usually for 12 months.
2. Switch - When you've found one, all you have to do is contact the new supplier.
It helps to have the following information to hand - which you can find on your bill - to give the new supplier:
- Your postcode
- Name of your existing supplier
- Name of your existing deal and how much you pay
- An up-to-date meter reading
It will then notify your current supplier and begin the switch.
It should take no longer than three weeks to complete the switch and your supply won't be interrupted in that time.
For more advice read our guide on how to switch.
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