Energy News

Energy price cuts round-up: Final verdict

Wednesday, 17 March 2010

By Daniel Barnes- daniel@consumerchoices.co.uk

After the energy firms have cut their gas prices, where do you find the best deals?

The major energy firms have now all cut their gas prices, leaving consumers ready to find the best deal.

Price cuts came quick and fast from 4% to 8%, but electricity prices weren’t touched.

The first move back in February was British Gas, which led competitors in turn to claim their new gas prices were cheaper than the former monopoly.

British Gas cut 7% off its gas prices, claiming an average customer would save £55 a year.

The next firm to move was E.ON, which cut gas prices by 6% from 31 March.

The remaining firms quickly followed suit.

Scottish and Southern Energy cut 4% from 29 March, Npower revealed a 7% cut from 26 March and EDF cut gas prices by 4% also from 26 March.

The final of the ‘big six’ energy firms to cut was Scottish Power, which reduced gas prices by 8% from the end of the month.

Across the board the price cuts mean annual bills will be around £50 cheaper, but the small trimming now is far outweighed by recent rises.

The average energy bill, around £1,200, is now double what it was five years ago, so finding the best deal is as important as ever.

However, energy bills need not be in the four figures.

The cheapest energy deals are now for those taking online dual fuel deals.

The cheapest provider online for gas and electricity in all regions is now First Utility, with average annual bills of £882.80.

This compares with an average of best prices for standard electricity and gas bought separately of £373.32 and £678.97 respectively. Together this gives an annual bill of £1052.30.

The average of the best standard dual fuel deals is £1040.94.

Chris Eagle, commercial manager at Energychoices.co.uk, said: “Our figures reveal you can fight back and save money on your energy bills.

“If you are still buying gas and electricity separately then a dual fuel deal should save you money. If you are on a dual fuel deal then hopping over to an online tariff will save even more.”

He added: “The final piece of the puzzle is to make sure you pay by direct debit for extra discounts.”