Are you tired of sky-high utility bills? You’re not alone. According to the Office for National Statistics, nearly 40% of UK households struggle to pay their energy bills. To combat this, 44% of the British population is cutting back on energy usage to reduce expenses. But there’s another way to save: switching energy suppliers. In 2024, various energy suppliers are offering competitive rates, renewable energy options, and better customer service, making it easier for you to lower your monthly utility bills without sacrificing comfort. Let’s explore why switching energy suppliers could be the game-changer you need and highlight some of the top cheapest energy suppliers in the UK.
Why should you consider switching energy suppliers?
When you first move to the UK or have been living here for a while, you might find your energy bills overwhelming. Switching energy suppliers could be the key to easing that burden. Here are some compelling reasons to make the switch:
1. Cost Savings: Switching energy suppliers can lead to significant cost savings. Many new suppliers offer lower rates for gas and electricity compared to the larger, more established companies. By switching, you might find a tariff that better suits your usage patterns, leading to lower monthly bills. Additionally, new suppliers often provide more favorable contract terms, such as fewer penalties for adjustments and no hidden fees, allowing you to manage your expenses more effectively.
2. Improved Service Quality: Switching to a new energy supplier can also mean better service quality. Newer suppliers tend to have faster response times, better customer service, and more professional support. This can make dealing with any issues or inquiries much easier and less stressful. Improved service quality also means that you’re more likely to have a reliable energy supply with fewer disruptions.
3. Diverse Energy Sources: Many of the newer energy suppliers offer renewable energy options, such as wind and solar power. This not only helps reduce your carbon footprint but can also be a more cost-effective option in the long run. Access to a diverse range of energy sources means you can choose an option that aligns with your values and needs, whether that’s traditional energy, renewable energy, or a mix of both.
4. Market and Technological Advances: The energy market is constantly evolving, with new technologies and innovations emerging all the time. By switching to a new supplier, you can take advantage of these advances. For example, some suppliers offer smart energy management services that can help you track and reduce your energy usage. Additionally, switching suppliers can protect you from fluctuating market prices, as many new suppliers offer fixed-rate tariffs that provide price stability.
Who are the cheapest energy suppliers in the UK
Now that you understand why switching suppliers is beneficial, let’s look at who the cheapest energy suppliers are. Here are the top contenders for 2024:
1. Octopus Energy: Octopus Energy continues to be a top choice for 2024. With electricity prices around £0.28 per kWh and gas prices at approximately £0.07 per kWh, Octopus Energy is known for its long-term value. The company has won multiple awards for its customer service and commitment to clean energy technologies. Octopus Energy offers competitive prices and a range of tariffs, including options for renewable energy, making it an excellent choice for cost-conscious consumers.
2. Outfox the Market: Outfox the Market offers electricity at approximately £0.30 per kWh and gas at about £0.08 per kWh. The supplier is recognized for its excellent customer service and transparent pricing with no hidden fees. Outfox the Market was awarded Best Energy Supplier by Which in 2021 and continues to maintain high standards in 2024. The company’s straightforward approach and competitive rates make it a strong contender for those looking to switch suppliers.
3. E.ON: E.ON is another top contender for 2024, with electricity prices around £0.31 per kWh and gas prices at approximately £0.08 per kWh. E.ON invests heavily in renewable energy, offering 100% renewable electricity with fixed tariffs. This makes E.ON an attractive option for environmentally conscious consumers who also want to save on their energy bills. The company’s commitment to sustainability and customer service excellence makes it a reliable choice.
4. Shell Energy: Shell Energy offers electricity at approximately £0.33 per kWh and gas at about £0.08 per kWh. As a global leader in clean energy solutions, Shell Energy is committed to transitioning to a low-carbon energy system. The company offers a range of tariffs, including options for renewable energy, and strives to provide competitive prices and excellent customer service. Shell Energy’s reputation and dedication to sustainability make it a strong option for 2024.
5. Utilita Energy: Utilita Energy is the UK’s first pay-as-you-go energy supplier, offering electricity at approximately £0.34 per kWh and gas at about £0.08 per kWh. Utilita Energy stands out for its innovative approach, allowing customers to pay for their energy before they use it. This can help with budgeting and ensuring you only pay for what you use. Utilita Energy’s competitive rates and unique payment model make it an appealing choice for many consumers.
6. Scottish Power: Scottish Power offers electricity at approximately £0.35 per kWh and gas at about £0.09 per kWh. The company provides 100% green electricity from UK wind farms and is actively involved in social responsibility initiatives. Scottish Power’s commitment to sustainability and competitive pricing make it a strong option for those looking to switch energy suppliers in 2024.
7. British Gas: British Gas, the largest energy supplier in the UK, offers electricity at approximately £0.36 per kWh and gas at about £0.09 per kWh. The company is known for its stable prices and efforts to reduce carbon emissions. British Gas’s reputation, extensive network, and commitment to sustainability make it a reliable choice for many consumers.
8. EDF Energy: EDF Energy offers electricity at approximately £0.39 per kWh and gas at about £0.10 per kWh. As a major player in zero-carbon electricity generation, EDF Energy invests in wind, nuclear, and solar energy. The company’s focus on sustainability and competitive pricing make it a strong contender for 2024.
9. Utility Warehouse: Utility Warehouse offers electricity at approximately £0.40 per kWh and gas at about £0.10 per kWh. The company bundles home services into one bill, ensuring cheaper energy than the price cap. Utility Warehouse’s innovative approach and competitive rates make it an attractive option for those looking to simplify their bills and save money.
10. Electrocity: Electrocity, known as Britain’s greenest energy supplier, offers electricity at approximately £0.41 per kWh and gas at about £0.10 per kWh. The company invests in new forms of green energy, making it a top choice for environmentally conscious consumers. Electrocity’s commitment to sustainability and competitive pricing make it a strong contender for 2024.
11. OVO Energy: OVO Energy offers competitive rates, with electricity at around £0.37 per kWh and gas at approximately £0.09 per kWh. Known for its commitment to renewable energy, OVO Energy provides 100% green electricity and supports various environmental initiatives. OVO Energy’s combination of competitive pricing and sustainability efforts make it a solid choice for those looking to switch suppliers.
12. Npower: Npower provides electricity at approximately £0.38 per kWh and gas at about £0.09 per kWh. The company offers a range of tariffs, including green energy options, and focuses on customer satisfaction. Npower’s dedication to providing a variety of energy solutions and competitive rates makes it a noteworthy contender for 2024.
Choosing the right energy tariff
Once you’ve selected an energy supplier, the next step is to choose the right tariff. Here are some common options:
1. Fixed Price Energy Tariff: A fixed price energy tariff offers a set rate per kilowatt-hour for a specific period, usually 12 months. This can protect you from fluctuating energy prices and provide budget certainty. Fixed price tariffs are generally the cheapest option and can save you money in the long run.
2. Standard Variable Tariff (SVT): A standard variable tariff (SVT) is the default tariff offered by energy suppliers. Prices can fluctuate, making this option potentially more expensive. However, SVTs are often flexible and can be switched without penalty, providing some convenience.
3. Dual Fuel Energy Tariff: A dual fuel energy tariff allows you to receive both gas and electricity from the same supplier. This can often be cheaper and more convenient, as it simplifies billing and customer service. Dual fuel tariffs are a popular choice for households looking to save money and streamline their energy management.
4. Prepayment Energy Tariff: A prepayment energy tariff allows you to pay for your energy before you use it via an app, key, or token. This option can help with budgeting and ensuring you only pay for what you use. Prepayment tariffs are suitable for those who want to closely manage their energy usage.
5. Economy 7 and Economy 10 Tariffs: Economy 7 and Economy 10 tariffs offer lower rates during off-peak hours. These tariffs are ideal for households with flexible energy usage patterns, such as those who can use more energy during the night or weekends. By taking advantage of off-peak rates, you can save money on your energy bills.
6. Green Tariff: A green tariff supports renewable energy projects and encourages the use of clean energy. Green tariffs often come at a premium, but they help reduce reliance on fossil fuels and support the transition to a more sustainable energy system. If you’re environmentally conscious, a green tariff might be the right choice for you.
7. Tracker Tariff: A tracker tariff follows market prices and fluctuates daily. This option can be risky, as prices can increase, but it also offers the potential for savings when market prices are low. Tracker tariffs are suitable for those who are willing to take on some risk in exchange for the possibility of lower energy bills.
What is the cheapest way to pay your energy bills?
Paying by direct debit is generally the cheapest way to pay your energy bills. Most suppliers offer discounts for customers who choose this payment method, as it ensures regular, timely payments. Direct debit payments can help you manage your budget more effectively and avoid late payment fees. Additionally, many suppliers offer online account management tools that allow you to track your usage and payments, making it easier to stay on top of your energy bills.
Another cost-effective payment option is prepayment meters, which allow you to pay for your energy in advance. This can help you manage your budget and ensure you only pay for the energy you use. Prepayment meters are suitable for those who want to closely monitor their energy usage and avoid unexpected bills. However, it’s important to note that prepayment tariffs can sometimes be more expensive than standard tariffs, so it’s essential to compare options and choose the best one for your needs.
Tips for switching energy suppliers
Switching energy suppliers can be a straightforward process if you follow these steps:
1. Compare Tariffs: Use a comparison website like Docalla to compare tariffs from different suppliers. Look for the best rates, contract terms, and any additional benefits or incentives offered by suppliers. This will help you find the most cost-effective option for your needs.
2. Check Contract Terms: Before switching, check the contract terms with your current supplier. Some contracts may have exit fees or notice periods that you need to be aware of. Make sure you understand any potential costs associated with switching.
3. Contact Your New Supplier: Once you’ve chosen a new supplier, contact them to initiate the switch. Your new supplier will handle the process, including contacting your current supplier and arranging for the transfer of your energy supply. The switch usually takes a few weeks to complete.
4. Provide Meter Readings: Provide meter readings to your new supplier on the day of the switch. This ensures that your final bill from your old supplier is accurate and that you’re billed correctly by your new supplier.
5. Monitor Your Bills: After the switch, monitor your bills to ensure you’re being charged correctly. If you notice any discrepancies, contact your new supplier to resolve the issue. Regularly reviewing your bills can help you stay on top of your energy usage and costs.
Conclusion
Switching energy suppliers can be a great way to save money on your utility bills and improve your overall energy service. By understanding the benefits of switching, comparing tariffs, and following a few simple steps, you can find a supplier and tariff that better suits your needs. Whether you’re looking for lower rates, better customer service, or more sustainable energy options, there’s likely a supplier out there that can meet your needs. With Docalla, you can easily compare energy deals, navigate the switching process, and start saving on your energy bills in 2024. Take the time to explore your options and make the switch today for a more cost-effective and efficient energy service.
