E.ON price cut

E.ON announces a price decrease equivalent to 3.3% for gas impacting 1.8m of their customers. Gareth Kloet, head of utilities at Confused.com, says: "While the 3.3% price cut is a welcome move for 1.8 million of E.ON's gas customers, it's just a drop in the ocean. It's about £2 less each month for customers using an average amount of gas, so it's not going to make a huge difference to consumers struggling with their household budgets.

"It is, however, encouraging that despite wholesale costs rising, an energy company is cutting its prices in advance of the winter. Those on capped rates won't benefit but electricity only customers may want to consider switching to dual-fuel tariff to take advantage of the reduced prices."

"Our message is simple: if customers want to make larger savings, they need to take matters into their own hands and choose a supplier and tariff that rewards them for their custom. In some cases, they may not even need to switch supplier; simply moving to an online dual fuel tariff and paying by direct debit can bring substantially better savings. Customers do not need to wait until the price changes become effective; they can and should act today."

"Customers who switched with Confused.com saved an average of £252 on their annual energy bill in 2008."