EDF Energy expands 'fly-by-night' top tariff

Commenting on EDF Energy expanding its ‘fly-by-night' top tariff, Scott Byrom, manager of utilities at moneysupermarket.com, said: "EDF Energy's market leading tariff - Online v5 - is now available to households in 10 out of the UK's 14 regions. However, EDF Energy is not promising this deal will be around forever and could pull this product at any time, those wanting to move on to such a cheap tariff need to do so as soon as possible.

"EDF Energy now offers the cheapest annual online dual fuel deal at a competitive average of £983, this tariff knocked British Gas's WebSaver 3 product off the top spot and there's little doubt it'll only be a matter of time before the energy giant retaliates.

"EDF Energy's Online v5 is a good alternative for those coming off fixed rate deals soon, for example, customers on Scottish Power's ‘Fixed Price 2009' product, which ends on August 31, could see their bills rise by £135 a year. By moving to this deal from EDF Energy they will protect their savings and save an additional £39 a year on their energy bills moving forwards - making a potential saving of £174.

"Fixed deals were in vogue last year as record price increases were announced - 70 per cent of moneysupermarket.com customers who swapped provider in July 2008 chose a fixed energy tariff saving themselves an average of £134.50 a year against a back drop of sharply rising prices, Ofgem research also found that around 4.6 million people are on a price guarantee tariff of some sort.

"Bill payers need to be aware that the big increases they could face when their current deal ends could wipe out any savings that they made when they fixed last year. Timing is crucial when proactively looking for a new energy product, move off your fixed rate too early and you could face termination fees of up to £75. Move too late and you might find yourself automatically switched to the standard deal or locked into a less attractive fixed product, a situation that isn't ideal as we move into the colder autumn and winter months when bills are traditionally higher as consumption increases.