Last week, Ofgem, the UK’s energy regulator, published their findings of an investigation into “standard variable tariffs”.
The report is rather timely, as winter is the time of the year when energy bills are most expensive.
Standard variable tariffs are often more expensive than fixed deals. Ofgem’s investigation looked at both the average cost of energy bills for households on standard variable tariffs, as well as the suppliers with the largest percentage of customers on this type of tariff.
The report found that 20 million households, which constitutes 66% of all households in the UK, were on a standard variable tariff.
91% of SSE and 74% of British Gas customers are on standard variable tariffs, while Scottish Power was amongst those providers with the highest average energy bills for their customers on standard variable tariffs.
Ofgem has calculated that customers on standard variable tariffs could save £174 a year by moving to another deal.
Price comparison websites are a great way to see if you’re paying the lowest rate for your energy, and to determine if you can save money by switching suppliers.
A list of Ofgem approved energy comparison websites can be found here:
http://www.goenergyshopping.co.uk/energy-tariffs-and-deals/comparison-sites
While this winter has been mercifully mild so far, you never know when a cold snap will occur. And in these circumstances, there are a significant number of people who face the choice of heat, or food.
Unfortunately, it is frequently the elderly and most vulnerable in our community who end up paying the most for energy, as they often do not have access to these online resources. In this holiday season, I would encourage everyone to reach out to those vulnerable neighbours, friends, and family members, to help keep the heat on by ensuring that they are not overpaying for energy.
