Standard variable tariffs now cost, on average, more than £1,000 a month at most energy firms, including those outside of the big six, and prices continue to climb.
Even the cheapest deals are rising rapidly.
New analysis by price comparison uSwitch.com shows that the cheapest energy deal on the market has increased by £100, or 14 per sent, over the past six months.
The cheapest deal on the market then was IRESA’s Flex 1 tariff, costing £734 per year. But today, the cheapest deal is IRESA’s Flex 4 tariff, at £834 a month.
Five of the big six energy suppliers have hiked the price of their cheapest tariffs by an average of 16 per cent, or £135, since September, with the cheapest deal on offer from E.ON increasing the most significantly, by a staggering 26 per cent, from a £760 a year in September to £959 today.
SSE’s cheapest fixed deal was £782 in September and is now £970.
And prices look set to continue rising, as many suppliers end their price freezes over the next few months.
With a difference of £143 between the average big six cheapest deal and the cheapest fixed deal on the market today, homeowners are being urged to shop around to find a better deal.
And with seven in ten families on the priciest standard variable tariffs, it’s more important than ever to switch.
Thirteen small and medium suppliers have increased the price of their standard variable tariffs by an average of nine per cent, or £87, since October, uSwitch.com found, meaning it’s not just the big six that are hiking prices for customers.
Suppliers announcing increases include Co-operative Energy, Ecotricity, Octopus Energy, Flow, So Energy, Bulb, OVO and more.
Price rises are being blamed on the increasing wholesale cost of energy, which last summer started to climb at its fastest rate in years.
Emma Bush, uSwitch.com energy expert, said: “Consumers have been facing climbing energy prices for several months, but 2017 could see bills soar further.
“The cost of both standard and fixed deals continues to rise, and the respite provided by some suppliers’ price freezes will soon come to an end.
“Switching to a fixed deal will help consumers stay one step ahead of their energy provider – but only if they act now.
“Every home should take a few minutes to check that they are on the best deal possible and switch to a cheap fixed deal before they disappear.”
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