Bill payers warned as 9 fixed energy tariffs end soon
British bill payers need to be on their guard as nine fixed tariffs from the ‘Big Six' energy providers come to an end soon, warns moneysupermarket.com.
According to moneysupermarket.com, Scottish Power's Capped Price Energy July 2010, EDF's Annual Fix v3 and British Gas' Price Promise June 2010 are due to finish at the end of June. In addition, E.ON's Price Protection 18, Fixed Price 3, Energy Saver v5 and Energy Saver v6 tariffs will end on 1st July.
Scott Byrom, utilities manager at moneysupermarket.com, said: "Fixed tariffs have been ‘in-vogue' over the past couple of years, especially amidst a backdrop of market movements. However languishing on fixed deals could spell bad news for Brits when the tariffs come to an end. In the worse case scenario, a provider could automatically swap customers across to its standard tariff meaning a potential increase of as much as £165 a year if the bill payer hasn't taken action to find a better alternative; swapping to the market leading online tariff could see a saving of as much as £348 a year.
"The typical advice to customers who have fixed deals is to look to swap at least six weeks before the termination date to avoid automatically being moved onto what could be a more expensive tariff from your supplier. However even if there is less than six weeks to go before your fixed deal expires it is crucial to scour the market for the next best alternative deal to avoid paying over the odds, and even if your termination date has passed, you should look now for the best option available to you, timing is definitely the key to making sure that you are always signed up to a good deal.
"On the flipside, if you move off your fixed rate too early and you could face termination fees of up to £75. Being vigilant and keeping a note of expiry dates will safeguard you from being moved on to what could be a more expensive standard deal or a less competitive fixed product when your current deal ends."
Scott Byrom continued: "Last month we saw npower Sign Online customers experiencing up to 38 per cent increases to their bills when Ofgem made changes to the Electricity and Gas Supply License.This combined with a number of fixed deals from the ‘Big Six' providers ending soon means customers should start looking for a better deal.
"Customers wanting to secure cheap prices for the next 12-months should consider signing-up to E.ON's Fix Online v8 before the product is pulled in the next couple of weeks. This product is expected to be removed from the market on 30th June 2010 - if not earlier depending on sign-up volumes. With an average saving of £287 per annum, and fixed rates until 1st July 2011, customers will be hard pushed to find a more competitive deal. However, you are unlikely to see an instant reduction to your monthly bills by opting for this product, if you want to see the full benefits of the E.ON tariff; bill payers must remain on this deal until for at least 12-months to qualify for the full annual discount, as the rebate is paid at the end of the term of the deal."