NPower Cut Prices But Could You Save More By Switching
Good news for NPower customers! The company has become the fourth big energy provider to announce cuts this year. We know price cuts can never really be a bad thing for anyone, but are there bigger savings to be made by switching providers?
The 5.1% price reduction for NPower customers will be put in place on February 16th, and the reduction rate will apply to gas only customers. So now the price cut war is well and truly underway, does this mean NPower customers are winning?
Well, when you first hear of a 5.1% price slash, you would be forgiven for getting excited, but don’t start celebrating just yet. The price drop will only apply to customers on Npower’s standard gas tariff, including those on a prepayment meter, either dual fuel or gas-only customers. This excludes those of you who are on electricity only deals and those of you who are on fixed rate tariffs.
British Gas has already cut prices by 5%, E.on has cut by 3.5% and Scottish Power is set to cut prices by 4.8%. Don’t be fooled into thinking that because your provider has made a price cut, you’re onto the best deal.
While NPower is cutting its standard price for someone on typical usage to £1,169 per year, there are other deals out there on the market for as little as £915 a year for the same usage. For example, Extra Energy dual fuel customers pay short fix costs of £915 a year which is much cheaper than the big providers, even after their price cuts. So now would be a great time to start comparing deals and ensuring you are on the best price plan possible.
If you do decide to take the plunge and switch providers, then watch out for exit rates. These are especially common for people on fixed rate tariffs. The good news is that Energy Providers now allow you to leave up to 49 days ahead of your tariffs end date without having to pay an exit rate.
Another helpful tip for saving big money on your energy bills is to pay monthly by direct debit which could save you up to £90 a year. So if you can do this then it’s definitely worth it for a good saving. Plus don’t assume dual fuel (getting gas & electricity from one supplier) is cheapest. When comparing, check the cheapest separate suppliers too.
If you’ve never switched your gas or electricity supplier before, or at least not in the last couple of years, you’ll almost certainly save money on your energy bills by moving to a different deal.
I hope this has been helpful to some of you and feel free to check out my articles explaining how you can get free home insulation and a free boiler replacement!
Click here to see how you could get free home insulation.
Click here to see how to receive your free boiler replacement grant.