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Energy bills to increase by £50 million as 90 fixed plans end

Energy bills to increase by £50 million as 90 fixed plans end

Why pay more for the same energy?

Switch to a better deal today!

Almost half a million homes will see their energy bills rise after their fixed plans came to an end in April. There were 90 fixed energy plans from 19 suppliers ending on 30 April, affecting 486,559 households in the UK.

Many more plans end in May and June - check our list of energy plans ending soon to see if your plan is affected.

Those on energy plans that ended in April will see their bills rise by an average of £103 - that’s more than £50 million* in extra costs across the country. Customers who don’t switch to a cheaper deal at the end of their fixed plan will be automatically rolled onto their supplier’s standard variable or default tariff, which is typically the most expensive type of plan.

Price cap gap

With the energy price cap in place, standard variable plans cost an average of £1,127 - which is £369 more expensive than the cheapest deal on the market.

With wholesale costs falling, there are plenty of cheaper energy deals available at the moment, and households could save hundreds by switching instead of sticking with their current supplier.

Will Owen, energy expert at Uswitch, said: “The gap between the price cap and the cheapest deal hasn’t been this wide for more than half a year and means there are huge potential savings for thousands of homes.

“The cheapest fixed tariffs are getting cheaper still, with tumbling wholesale costs and suppliers driving down prices to attract new customers.

The price hike could be even more pronounced for customers of some suppliers. Those whose Ovo plan ends this month could see bills rise by £269, while npower and British Gas customers will pay £174 and £168 more respectively.

Prices up in lockdown

Recent Uswitch research found that we’re using an extra £52 million a week of energy at home at the moment - meaning there’s even more potential to make a saving.

Will Owen said: “With household energy usage on the increase during lockdown, no one wants to pay more than they need to.

“Don’t let yourself slip unwittingly into a price hike. You can compare what energy deals are out there and see if there is a cheaper plan you can move to.

“If you’re unsure about when your deal might be coming to an end, discover our online guide to ending tariffs to point you in the right direction.”

Why pay more for the same energy?

Switch to a better deal today!

*Source: Uswitch.com data, correct as of 21/04/2020. Total bill increase (£50,165,070.76) calculated by multiplying the increase per tariff by the number of households affected. Average increase per household is £103.10. Prices assume a household with medium annual consumption on a dual fuel tariff, paying by monthly direct debit.

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