Are the Big Six ripping you off for £200 a year?

16 February 2015

British Gas guide Ôjargon free'The Big Six energy companies are a pain in everyone's backside, despite the fact they've lowered everyone's bills by a small amount.

However, there's more they could do, as it looks like somewhere in advance of 13 million homes are losing £200 per year because they're on variable rate energy tariffs. That's billions per year, when you tot it up.

With these deals, people are paying out more than they need to. If they switched to a fixed rate deal or changed to a smaller energy company, you could be saving as much as £250 per year.

These figures are coming to light as the inquiry by the Competition and Markets Authority (CMA) continues, due to be published soon. It won't surprise a soul when we all find out that the Big Six are continually not passing on savings to their customers.

This estimate comes from the Department of Energy and Climate Change, which is being referred to as the £2.7billion rip-off. Today, they're launching the 'Power to Switch' campaign, in a bid to get people to move away from tariffs that are needlessly expensive.

Of course, one of the simplest ways of switching is to use a price comparison site (preferably one that has been approved by Ofgem) and you can be saving money with half a dozen clicks. Before you do that though, you'll need your 'annual summary', which you can request from your energy supplier.

That means, when you go to the comparison site, you'll have all the correct information about things like annual usage, your tariff and all that, so it can work out which new deal would be best for you and highlight the amount you could be saving. Or, if you prefer, you can phone the Energy Saving Advice Service on 0300 123 1234. If you're doing it online, then start here.


TOPICS:   Utilities

1 comment

  • Fools g.
    This is politics. The savings aren't real. Politicians just want to appear to have a way to bring down bills.

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