British Gas, EDF and EON customers to get £457 boost from summer | Personal Finance | Finance

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Energy customers at every major supplier could be in line for a huge cash boost this summer.

British Gas, EDF, EON, OVO and Octopus customers are legally obligated to pass on savings to customers on variable-rate tariffs when Ofgem changes its price cap.

This April, households across the UK already benefited from a handy £238 saving on the average energy bill thanks to a price cap cut.

And this July, analysts at Cornwall Insight are predicting another cut to energy bills which could be worth as much as 13 percent, which would equal a further £219.70 off the average bill per year.

Taken together, it means households are set to benefit from a £457 saving on average from the April and July price cap changes if the July price cap does go into place as predicted.

As money expert Martin Lewis announced on an episode of his BBC Sounds The Martin Lewis podcast: “So you would probably imagine it’s going to be down. It’s currently predicted to be down 13 percent.”

When asked about what level you should fix at if you are considering a fixed tariff, he added: “I would suggest if you were probably looking at between down 8 percent and 17 percent that’s a pretty good range of confidence on that type of thing.”

Of course, those on a fixed tariff won’t get a change to their bills from July, because they will be on a fix, but Martin is suggesting that if you get offered a fixed deal of between 8 and 17 percent less than the April price cap then it is worth considering if you value price certainty.

Ofgem will announce the confirmed July price cap figures in May, when the precise saving for households will be confirmed.


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