OVO energy undercutting opposition

Gareth Kloet, head of energy at Confused.com, said: "Bravo for OVO! This is exactly what households have been waiting for. This new tariff undercuts its nearest competitor First:Utility by an average of £33 per year.

OVO's newest tariff, which is the cheapest in 13 out of the 14 regions, really plays to the current economic climate and consumer's demands for fairer pricing. It also satisfies those with a green conscience as 15% of the energy provided on this tariff is from renewable sources. It's a win-win for many households.

Price is the key driver for OVO to attract new customers as it is a relative newcomer, with unproven customer service. In today's highly competitive market, this could put them in an advantageous position as customers are seeking alternatives to the usual suspects.

It appears OVO is not experiencing the same issues currently facing the ‘big six' who bought their energy at a time when prices were high; therefore OVO is in a great position to provide a market-leading tariff.

This latest offering is good because it's a fixed rate tariff in an environment of uncertainly. In its market probe OFGEM asked all energy providers what they thought would happen with price - the overriding conclusion was that prices would rise. Therefore, if customers are on a tight budget and want peace of mind over rising energy prices, this may be the best tariff for them.

As always, before jumping in, it is imperative customers shop around and check they are on the best deal for their circumstances. Customers should use an accredited price comparison site, such as Confused.com, that shows all of the energy suppliers across all of the country."