“Long-awaited breathing room for households”: Uswitch responds to Cornwall Insight’s final prediction for the April energy price cap

Richard Neudegg, director of regulation at Uswitch.com, said: “This predicted 7% reduction would take the price cap to its lowest level in almost two years, and could offer some long-awaited breathing room for households still on default tariffs. 

“The Government’s promised £150 reduction in energy bills will be reflected for the first time in this coming price cap, alongside the normal quarterly adjustments. It’s important to remember this upcoming reduction is based on personal energy usage — households that use less energy will see a smaller saving, while higher-usage households will see a larger one.

“Every single household can expect to see an adjustment in their bills from April, regardless of which supplier they’re with or tariff they’re on. 

“But the real winners are households who are on or get themselves on to a cheap fixed tariff before April, as they’ll benefit the most from lower rates on their heating right now, and a further fall in price from April.

“Two-thirds of households are still paying over the odds on standard tariffs. By opting for a fixed deal, they could cut their heating bills right now when it matters most, and still see the benefit from the Government’s intervention in April. 

“While the price cap is forecast to fall by 7%, those who are on, or get themselves on to, a cheap fixed tariff could see their bills up to 18% cheaper than today’s standard rates once the reduction kicks in.”  

ENDS