E.ON drops gas prices

Commenting on E.ON dropping its gas prices, Scott Byrom, utilities manager at moneysupermarket.com, said: "This price drop is a tiny step in the right direction. While it is a welcome surprise, a 3.3 per cent price drop - that's just £25 for most customers - isn't earth-shattering, especially following the record energy price hikes of last year. However, it will hopefully encourage more competition in the market and mean other providers will also reduce their prices. The removal of the standing charge for pre payment meter customers should also give reason for some cheer.

"This price cut is for E.ON's gas customers only and follows the nine per cent price cut for its electricity customers in March this year. Despite this move from E.ON, British Gas' Websaver 3 tariff remains the cheapest on the market at £1,018.

"For anyone who has never swapped provider and is languishing on a standard tariff, there are savings to be made now by shopping around for the best tariff to suit you. Swapping your payment method will reduce your bills too - paying by monthly direct debit will offer more competitive rates than settling bills by quarterly cash or cheque."