Household energy bills are set to rise by £90 million by the end of October as 41 fixed deals come to an end according to analysis by Uswitch.com, the comparison and switching service.
Impacted households could see their bills rise by as much as £202, as they will move automatically onto their supplier’s standard variable tariff (SVT) if they do not take action and switch to a new deal.
Nearly 374,000 households could avoid this autumn ‘bill shock’ and save around £241 by switching to a new fixed energy tariff as their deals come to an end.
Some 41 fixed deals from a variety of large and small suppliers will finish by the end of October, with consumers automatically rolling onto their provider’s standard variable tariff unless they take action. These standard tariffs are effectively set by the price cap, making them some of the most expensive on the market.
If all of those households signed up to the cheapest deal currently available, they would save around £90 million between them compared to what they would pay over the next 12 months if they rolled onto a standard tariff.
Households on fixed deals are free to switch 49 days before the tariff ends without paying any exit fees – a little-known hack that can let consumers jump to a cheaper deal earlier.
The cheapest fixed deal available this time last year cost £1,553. Households falling off this deal onto a standard tariff – costing £1,755 a year from 1 October – would immediately start paying £202 extra a year.
Uswitch.com is encouraging consumers to check when their ‘free to switch window’ opens and switch to a fixed deal to avoid a bill shock this autumn.
Will Owen, energy expert at Uswitch.com, comments:
“Households who signed up for a 12-month fix last autumn, or a 24-month deal in October 2023, should check when their switching window opens.
“Those whose tariff started around the end of October last year need to act quickly – as they can leave their current tariff up to 49 days before it ends without paying any exit fees.
“This is a particularly strong time for savings, with around 26 fixed deals currently available which beat the October cap and savings of around £241 on the market.
“If you’re on a standard tariff, now is the time to protect yourself from the upcoming price rise. Run a comparison to see what deals are available to you and how much you could save.
“Fixing your energy tariff to cheaper rates should be a no-brainer for all households who are able to do so.”
