February 11, 2016
The last of the "Big Six" Energy Suppliers have now announced prices cuts for customers on their standard tariff gas customers.
British Gas revealed a 5.1% price reduction, followed almost instantly by EDF's announcement of a 5% cut.
British Gas's price change takes effect on the 16th of March, while EDF's kicks in eight days later. Good news to the 6.8 million British Gas and 900,000 EDF customers currently on their supplier's standard tariff, but they could still save considerably more by switching to a fixed price tariff.
At the beginning of the year pressure was mounted on the "Big Six" from politicians, the energy regulator and charities to bring the cost of energy down in line with falling wholesale costs. E.ON quickly announced a cut of 5.1% on the back of the negative publicity, followed by similar reductions by SSE, Scottish Power and Npower. Wholesale costs for gas have dropped more than 57% since 2014.
Executive director at consumer group Which?, Richard Lloyd, said:
"Seeing all of the big suppliers mirror each other with small cuts in the face of falling wholesale prices will raise questions in many people's minds about whether competition is working in this market."
Wholesale costs of electricity has also dropped more than 30% since 2014 but this hasn't been reflected in any price reductions. This has led to more criticism of the energy industry.
Energy analysts at Jefferies said:
"There has still been no movement in electricity tariffs, despite a 30% fall in wholesale electricity prices since August 2014. This is likely due to increased environmental costs, which fall on electricity rather than gas, and additional network charges."
Any customers on a standard tariff, with any supplier, will be paying more than they need to be for their energy and would benefit from being on fixed term tariff.
Rachel Fletcher, OFGEM's Senior Partner for Consumers and Competition, said:
"These price cuts are a movement in the right direction for loyal customers, but they are dwarfed by the savings available by switching from a standard tariff to a fixed deal. You could save more money, up to £300, by switching."
You can see exactly how much you could be saving by doing a simple comparison on our free and impartial energy calculator. Enter a few details and we take care of the switch for you. Click here to be taken to our switching tool.
Posted on February 11, 2016 at 03:23 PM
February 9, 2016
Age UK and E.ON have suspended a branded tariff following a public backlash from the deal.
Last week the tariff came under scrutiny, after The Sun newspaper claimed that Age UK had recommended a special tariff from E.ON costing pensioners £1,049 a year - a substantial £245 more than E.ON's cheapest tariff.
It said that AGE UK received about £41 from E.ON for every person it signed up to the deal, totalling £6.3m last year. Energy Regulator, OFGEM, and the Charity Commission have said that they are currently investigating E.ON Energy's and AGE UK's behaviour.
When the tariff launched, Age UK said it was the leading nationally available tariff of its kind. AGE UK are questioning the newspaper's interpretation of the figures, including a comparison between the cost of one-year and two-year fixed deals. However, due to "continued speculation" about the partnership the tariff will be suspended from Wednesday.
In a joint statement, E.ON and Age UK said:
"E.ON and Age UK Enterprises have announced that they are temporarily to stop offering an Age UK Enterprises branded tariff to new and renewing E.ON customers from Wednesday 10 February 2016.
This decision has been reached on a mutual basis and both organisations retain confidence in the tariff offered to customers. However, due to continued speculation regarding the partnership, both organisations feel it is right to pause and reflect on the best way for both parties to achieve their shared goal of helping customers."
A member of the Energy and Climate Change Select Committee, Conservative MP Dan Poulter, has called for the two organisations to refund any pensioners that signed up to the tariff on Age UK's recommendation, to be reimbursed.
Poulter believes there is a "moral obligation" for E.ON Energy, which is one of the "Big Six" energy suppliers, and AGE UK, the UK's largest pensioner charity to compensate energy users because they appeared to have paid hundreds of pounds too much over the last year.
E.ON customers on existing Age UK Enterprises tariffs are unaffected by this move and can continue until their contract end date or move without penalty between E.ON tariffs at any point. The Age UK Enterprises tariff has no exit fees meaning customers can change supplier at any point without incurring any charge.
Posted on February 9, 2016 at 04:31 PM
February 2, 2016
Npower have launched a Now TV 3 month Entertainment pass bundle offer. Customers, existing and new, will benefit from the promotion. The pass can be obtained via the Customer Offers page on Npower.com.
Launched in 2013, Now TV is a non-contract Video on Demand service powered by Sky TV. The entertainment pass gives customers 13 extra channels, that can't be found on Freeview. Popular additional channels like SKY1, Comedy Central, Discovery and MTV. Customers also have access over 250 boxsets.
To take advantage of the offer, you must be an Npower customer. If you have only transferred to Npower then you will have to wait until you have your account number or your online account number login details to be able to qualify.
Once you have these details, login and visit the Customer Offers page where you will see all the terms and conditions and a link to on the npower.com home page. Look for the NOW TV offer, use your online account log in or customer reference number to verify that you are indeed an Npower customer. Follow the on-screen prompts to get your code. Easy!
If, for whatever reason, the code doesn't work or you struggle to redeem it, please call 01565 831122.
Posted on February 2, 2016 at 09:00 AM