Ofgem’s price cap may have just fallen again at the start of July, but you may remember how high energy bills have been over recent years and wonder if it’s a good time to lock in your energy prices for the coming year.
The first thing to bear in mind is that no one knows for sure what energy prices will be in October, so there’s always a chance that variable rates may be lower than a fixed tariff that you choose now. Nevertheless, Cornwall Insight’s analysis is currently predicting that the price cap will rise from £1,568 for the average UK dual-fuel home to £1,723 in October due to an uptick in the wholesale energy markets. A fixed tariff can also give peace of mind by protecting against price spikes caused by unforeseen geopolitical events.
Note that the fixed tariffs currently on offer are generally slightly more expensive than the current price cap, although energy use tends to be lower in summer thanks to warmer weather, longer days, and less time spent indoors. They also often incur an early exit fee, which may make switching difficult if prices drop. A notable exception to this is the fixed tariff from Octopus Energy. The MoneySavingExpert website maintains a list of the current fixed deals on offer.
Xgas can also provide a boiler service in Wrexham and nearby places like Chester to ensure your boiler is working efficiently and reliably ready for the autumn and winter. Get it touch to book an appointment.
