Now is the best time to switch energy tariff to save £100s

last updated 12 May 2022

If you are looking to save money on your energy bills now is the best time to switch energy tariff.

Energy prices are at their most competitive level in years, MoneySuperMarket, the comparison website, reveals. The plummeting energy prices have come as a result of a drop in the wholesale element of domestic energy prices combined with low oil prices.

Why you should switch energy tariff now

Research by Cornwall Insight found that wholesale domestic energy prices have dropped nearly 40 per cent. While the average price of fixed tariffs offered by large suppliers has fallen by £221, year on year, and £135 for medium and small suppliers.

This has worked together with the current low oil prices to push domestic energy prices down, which is good news for households. There are now 138 tariffs that are cheaper than the price cap of £1,162. The current cheapest deal is £412 less than the price cap.

If you are feeling the financial squeeze at the moment, now is the perfect time to think about switching to a better deal.

'A cocktail of factors have come together to make this a great time to switch supplier,' explains Stephen Murray, energy spokesperson at MoneySuperMarket. 'There's been a major drop in the wholesale element of domestic energy prices of nearly 40 per cent – something partly explained by oversupply in the market due to declining business energy usage.'

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'We've also seen year on year drops in the cost of fixed tariffs,' he adds. 'This, combined with the low oil price, means that there couldnt' be a better time to save money on your energy bills.'

'If you're on an expensive standard variable tariff or if your fixed-rate deal is coming to an end, you should change supplier now.'

The best deals on the market are currently Green Network Energy, Eon and Igloo. Green Network Energy's GNE Spring Sunrise deal has an average annual cost of £807. Eon's Fix Online Exclusive v34 deal has an average cost of £806. One of the cheapest deals is the Igloo Pioneer with an average annual cost of £805.

Will you be switching energy tariffs and saving?

Rebecca Knight has been the Deputy Editor on the Ideal Home Website since 2022. She graduated with a Masters degree in magazine journalism from City, University of London in 2018, before starting her journalism career as a staff writer on women's weekly magazines. She fell into the world of homes and interiors after joining the Ideal Home website team in 2019 as a Digital Writer. In 2020 she moved into position of Homes News Editor working across Homes & Gardens, LivingEtc, Real Homes, Gardeningetc and Ideal Home covering everything from the latest viral cleaning hack to the next big interior trend.