Households could face a £221 energy bill hike if they fail to switch to a fixed tariff before July 1, when the price cap rises by 13 per cent, experts warn. The energy comparison website Uswitch has issued a seven-day reminder urging consumers to act now to lock in cheaper rates.
How to avoid the price rise
First, households should run a quick comparison to see which fixed tariff best suits their usage. Average savings of £316 are available, making this a crucial move. The comparison can be done via an energy comparison website. Then, lock in the best rate by switching online.
Ben Gallizzi, an energy expert from Uswitch.com, said: "The jump in energy prices might seem easier to bear in summer while heating is off – but a graver concern is this setting the baseline for a further increase in October. If you haven’t switched in a while, you’re almost certainly on a standard tariff, and you will be impacted. Getting off a standard tariff and locking in a fixed rate deal should be an urgent priority for households."
Lack of awareness among consumers
In a study commissioned by Uswitch, as many as 63 per cent of the 4,000 energy decision-makers surveyed were not even aware of the upcoming energy price cap change. Among those who were aware, 23 per cent said the price hike left them feeling powerless over their bills, and a further 23 per cent were angered by it.
A separate poll of 2,000 household energy decision-makers, conducted via OnePoll.com, found that 42 per cent of those on a standard variable rate – who will be hit by the price rise – are not considering switching to a fixed tariff before July 1. Exactly 30 per cent are happy on their current plan despite paying more, while 22 per cent are hesitant about a long-term contract commitment. Additionally, 20 per cent find comparing tariffs daunting, and 18 per cent mistakenly believe switching to a fixed tariff will result in minimal or no savings.
Urgent call to action
Ben Gallizzi added: "For the millions of households on standard tariffs, this is your one-week warning that your energy rates are rising on 1 July - unless you act now. There are many fixed deals available that are cheaper than the price cap, with average savings of over £300 on offer, making it a crucial move. These deals might not be around for long. Take a few minutes to check online to see what deals are available to you."
Uswitch has taken to high streets, cities, and the countryside to warn the nation about the impending energy bill rises and encourage households to review their tariffs before higher prices take effect from July 1. With only days left before households face the biggest energy price rise since the energy crisis, experts say switching to a fixed deal is the single most important thing people can do to protect themselves.
