The UK’s major energy firms will soon be required to regularly inform customers about the best gas and electricity deals available in a bid to help them save money, the government has announced.
From this autumn, energy consumers will be informed of the most suitable tariff for them and offered the chance to switch to it, under a new scheme which could cut household energy bills by up to £100 a year.
Announcing the move, Deputy Prime Minister Nick Clegg said the ‘big six’ energy suppliers – EDF, E.ON, British Gas, Scottish and Southern Energy, Scottish Power and nPower – will write to customers once a year to specifically tell them what the best deal for them is and how they can get it.
“As of this autumn, your supplier will have to contact you with the best tariff for your needs. And if you call them, they’ll have to offer you the best deal too,” he said.
Customers coming to the end of a fixed-term contract will also receive the same advice and be able to move onto the cheapest available deal, while vulnerable customers who are assisted by the Warm Home Discount scheme will be contacted twice a year.
Clegg said the energy companies had also committed to simplifying tariffs, but added that they will not be obliged to inform customers about better deals from rival firms.
The new initiative comes in response to government claims that 70 per cent of customers are not on a suitable energy tariff and are therefore paying more than they need to for their gas and electricity .
