With five of the Big Six energy suppliers having announced price hikes over the last few months, we’re being told to brace ourselves for even higher gas and electricity bills.
Last month nPower joined the likes of British Gas, EDF Energy, Eon and Scottish Power by announcing that they’ll be increasing energy prices by 5.3 per cent, starting from the middle of June. It’s believed that this will add an average of £64 to a typical annual dual fuel bill and could potentially affect around 1 million customers across the UK. 1
It’s also thought that the remaining supplier that completes the Big Six – SSE – will swiftly follow suit, as the industry tends to move together when it comes to pricing.
Whilst the increase in bills might not be evident straightaway, as we move into the summer months, we need to be wary of is how this could affect us once we get into winter.
Why are the price hikes happening?
The energy suppliers are blaming the price rises on increasing wholesale and policy costs, and it doesn’t seem that there’ll be any let up for the time being.
What should your energy supplier do if they do up their costs?
If your energy supplier is going to up their costs, they will need to write to all customers 30 days before the hikes come into effect.
The only time where they don’t need to get in touch is if you’re on a staggered or tracker tariff…
- Staggered tariff: this is where your contract has set price increases on set dates (you don’t get a reminder, but details of the dates should be in your contract)
- Tracker tariff: this is where your prices will go up and down depending on things like movements in the stock market
If you’re not sure what tariff you’re on, then check your bill. This should give you all the info you need.
How can you avoid price hikes affecting your bills?
The main thing you can do to avoid price increases is to be proactive. Don’t sit back and assume that you’re always on the best plan, as these do change all the time.
That’s why it’s so important to compare tariffs, so you can see which is best for your circumstances. To help with this, Noddle members can use our energy comparison tool at any time to see how your current tariff compares with others.
Our Big Noddle Energy Switch also launches this month on 20th June, which saved Noddlers up to £554 on their gas and electricity bills last year.2 And you can join in for free, as long as you’re signed up to Noddle.
What’s The Big Noddle Energy Switch? The idea is that we get a big group of Noddlers together – including your family and friends – who all want to get a better deal on their energy tariff.
We then use the collective bargaining power of our group to help secure an ultra-low tariff, usually from a Big Six supplier, who bids for our business at auction.
Here’s how it works:
- Registration: Noddle members can register up until 19th June for free and with no obligation to switch
- The Auction: Suppliers will compete for your business by reverse-bidding; so they’ll offer lower and lower tariffs until the lowest wins
- The Winning Deal: We’ll email you to let you know more information about the winning tariff, show you how much you could be saving and you can then choose whether to switch or not
- Switch and Save: If you choose to switch supplier, Noddle, alongside Ofgem accredited partner energyhelpline, will organise the simple transfer for you with no interruption to your energy supply, quickly and for free.
…And that’s all it takes to save hundreds of £££s on your energy bills.
We’ll be sending out more information shortly, so watch out for this in your inbox and on our blog.
2 10% of Noddlers saved £554 or more during the last Collective switching period, which ran from 20 June – 14 August 2017