If you are one of the 60 per cent of people on a standard tariff, including the big six energy firms, you’re being RIPPED OFF.
And that rip off is getting bigger, after huge price-hike announcements, with many households burning £350 per year.
Yet it takes just five minutes, you can stop it.
And right now is the moment, because with all the big six having announced their price intentions, there’s a level playing field for comparison.
Take a look at this table.
The prices I’ve put in are dual fuel deals for someone with typical use – paying by monthly direct debit and using paperless bills.
Compare that to the cheapest one-year fix, where the rate is guaranteed for a year (not the price you pay, that depends on how much you use).
Of course if your bill is higher or lower, so is your saving.
Switching really isn’t that big a deal. It’s the same gas, same electricity, same safety, all that changes is customer service and billing.
And don’t worry, no engineers come to visit, it’s done without that, and you won’t be cut off mid-switch, you are guaranteed continuous supply.
How to find your cheapest deal? Your exact winner depends on your location and how much you use.
That’s why by far the easiest thing to do is use a comparison site – where you just put in your details and it finds your cheapest deal.
It takes just 5 minutes with my www.cheapenergyclub.com, which I’ve designed to try to make it easy, and it automatically lets you see all tariffs across the market, and then monitors afterwards in case a cheap deal launches.
Plus, as comparison sites get paid around £60 (dual fuel) if you switch through them, Cheap Energy Club gives you £30 cashback.
Alternatively use any www.ofgem.gov.uk-approved comparison site. However, do beware some will ask you something like “Do you only want to see tariffs we can switch you to today?”
This is a proxy for “only see tariffs that pay us." So always select to see the whole of the market. And if you’ve not switched because you find comparing too confusing.
My most important message is that the sin of NOT COMPARING is worse than the sin of getting a comparison wrong.
You may end up on your third or fourth cheapest instead of your first, and with wrong predicted savings – yet you’d still be on a cheaper deal.
Now let me answer a few common switching questions…
Q. Can I switch if I’m on a prepayment (key or card) meter?
A. Yes. Just do a comparison, though the savings tend not to be as large. Far bigger savings are possible by switching to a standard meter, as there’s more competition.
If you’re with a big six firm you won’t be charged for switching meters, though will usually have to pass its credit check. Full help at www.mse.me/prepaidenergy.
Q. I’m electricity-only, what should I do?
A. You can do an electricity-only comparison exactly the same way as dual fuel, and the savings can still be substantial.
If you’re on an Economy 7 or 10 tariff, comparing is trickier though.
* Martin Lewis is the Founder and Chair of MoneySavingExpert.com.
To join the 12 million people who get his free Money Tips weekly email, go to www.moneysavingexpert.