It looks like a price war has erupted between First Utility and Extra Energy.
The independent suppliers have slashed their prices within hours of each other in an attempt to top the best buy tables, just as temperatures begin to feel considerably cooler.
So let’s take a look at what’s on offer.
First Utility’s new deal
First Utility has launched the iSave Fixed October 2016 v2, which it says will cost the average household using a typical amount of gas and electricity £890.49 a year.
The tariff will fix prices until 30th October and is available to new and existing customers on a dual fuel or electricity-only tariff.
To get the cheapest deal you have to agree to pay by Direct Debit. Those paying by cash or cheque will have to pay £2 a month extra.
If you sign up but want to cancel before the end of the term there is a termination fee of £30 per fuel.
Extra Energy’s new deal
Extra Energy quickly responded to First Utility’s move by slashing the cost of its one year fixed tariff.
The Fresh Fixed Price November 2016 v3 deal now costs the typical household with average consumption £889 a year - £1.49 less than First Utility’s offer.
The tariff will also fix prices for one winter, but slightly longer up to 30th November and is available to new and existing customers on dual fuel or electricity-only.
The deal is available on Direct Debit, the account must be managed online, and there’s a £25 termination fee per fuel if you cancel before the end of the term.
How they compare
Here’s how the deals compare to the cheapest energy tariffs on the market now.
|
Energy supplier |
Tariff |
Type of tariff |
Average annual cost |
|
GB Energy Supply |
Premium Energy Saver |
Variable |
£870 |
|
Extra Energy |
Fresh Fixed Price November 2016 v3 |
Fixed (until November 2016) |
£889.00 |
|
First Utility |
iSave Fixed October 2016 v2 |
Fixed (until October 2016) |
£890.49 |
|
SSE |
One Year Fixed (Paperless) |
Fixed (for 12 months) |
£898.86 |
|
SSE |
One Year Fixed (Paper) |
Fixed (for 12 months) |
£910.89 |
|
Extra Energy |
Clear Fixed Price November 2016 v1 |
Fixed (until November 2016) |
£913.00 |
|
Green Star Energy |
Rate Saver 12 Month Fixed 2508 |
Fixed (for 12 months) |
£913.00 |
|
Ovo Energy |
Better Energy Fixed (Online) |
Fixed (for 12 months) |
£918.00 |
|
Green Star Energy |
Rate Saver 12 Month Fixed 1508 Plus |
Fixed (for 12 months) |
£920.00 |
|
Sainsbury’s Energy |
Fixed Price July 2016 |
Fixed (until July 2016) |
£930.00 |
Source: loveMONEY gas & electricity comparison centre.
*Prices based on average consumption as measured by Ofgem of 13,500kWh of gas and 3,200 kWh of electricity and a customer paying by monthly direct debit including VAT.
N.B Prices are the average for the whole of the UK. Actual costs vary by region.
[SPOTLIGHT]As you can see GB Energy Supply offers the cheapest deal right now with the Premium Energy Saver, which will currently costs a typical household £870 a year. However, this is a variable rate deal so prices could rise.
Extra Energy pips First Utility to the post as the cheapest fixed rate energy deal by £1.49. So if you want peace of mind that your energy prices won’t change this winter, it’s the top deal to go for right now.
However, this could all change very quickly. You can keep up to date with the latest deals in The cheapest gas and electricity tariffs.
Compare gas and electricity tariffs