Npower fourth big energy company to cut gas prices

Gas price cut of 5.1% from mid-February but only on standard tariffs

Npower has become the fourth of the so-called 'Big Six' energy companies to reduce its gas prices after it announced a cut of 5.1%.

The energy giant says the cut is the equivalent of a £35 reduction on the average annual standard Npower gas tariff. However, it won’t come into force until Monday 16th February.

Npower's price drop follows previous announcements from E.ON, British Gas and ScottishPower. It’s worth noting that only E.ON reduced bills immediately – the other suppliers are waiting until February before implementing their price drops.

The reduction in price follows pressure from the government after significant falls in the price of wholesale gas.

[Related story: Big energy company price cuts beaten by smaller suppliers]

The cheapest energy tariffs

It’s worth bearing in mid that these cuts only apply to standard tariffs, which are generally the worst value deals anyway. The table below highlights the current cheapest tariffs for average energy users, which at this moment are all fixed.

Source: lovemoney gas and electricity comparison centre

Prices based on average consumption as measured by Ofgem of 13,500kWh of gas and 3,200kWh of electricity and a customer paying by monthly direct debit including VAT.

*Not available in region 17- Scottish Hydro area

Just be aware that the price of your energy will be based on your postcode and may be more expensive, or even cheaper, than the ones listed.

To put npower's price cut into context, from 16th Febuary its standard dual fuel tariff, based on average energy use and paid by monthly direct debit, will cost £1,169 a year. That's £255 a year more expensive than the cheapest tariff in the table above.

Npower has also just been voted worst energy company for customer satisfaction by Which? readers.

Compare all the gas and electricity tariffs in your area at lovemoney.com