The energy industry has come under fire from many quarters not only for increasing rates when wholesale prices are static or reducing but also for confusion in their tariff options. Complaints to Ofgem seem to centre around confusing tariffs and the volume of options available to residential customers.

So British Gas are the first company to introduce easy to follow options for their customers. They still offer the lowest standard tariff (now called clear and simple) in the market place but have other options now. These are basically two types of tariffs – a fixed priced and variable price although additional discounts are available if you manage your account online and/ or pay via monthly direct debit.

British Gas Tariff Options

Clear and Simple Tariff

The clear and simple tariff is just that. It’s their entry level tariff and can be purchased by most people as you don’t need to pay by direct debit (although additional discounts apply) but it doesn’t come with Energy Smart; their online account management service. With Clear and Simple you get :

• A daily standing charge and a variable unit price
• A discount of £15 per year if you take dual fuels (ie: gas and electricity)
• An additional 6% discount if you pay via direct debit
• No cancellation fees so you are free to move tariff at any time

Many thousands of people take this tariff in the UK and it’s one of the most popular. However, there are better deals on the market place even from British Gas – see below.

Online Variable Tariff

This tariff is the same as the clear and simple but has an additional 6% discount over the prices because online account management is mandatory. This means you enter your meter readings online so that your bill is always 100% accurate. With energy smart you also receive a free energy monitor to check your electricity usage in real time.

• 6% discount from the Clear and Simple tariff
• Online account management with Energy Smart
• Free energy monitor which could reduce your consumption by 12%
• No exit fees

If you want to stay with British Gas this is the tariff we recommend. If you don’t want online account management then see the next option.

Discount Variable Tariff

This provides an additional 4% discount over the Clear and Simple tariff and you don’t need to sign up to the online Energy Smart management scheme.

• 4% discount over the Clear and Simple tariff
• No online account management required
• No exit penalties

How much will they cost ?

Generally British Gas targets their pricing to be the cheapest variable (standard) tariff in the market place and this has been the same for many years. All power companies are required to show prices on average demand and the figures used from Ofgem are electricity at 3,300 kWh per year and gas at 16,500. The figures quoted include VAT at 5% and payments via direct debit.

Use these figures with caution as really they are there to compare tariffs across all companies. To get an accurate value for your home you should get a quote using your own consumption data or monthly billing data. The average costs are as follows :

• Clear and simple standard £99 per month
• Online variable £93 per month
• Discount variable £95 per month
• Fixed tariff £106 per month

These prices are for a dual fuel tariff (ie: Taking electric and gas from the same provider).

All of these tariffs are built from a daily standing charge then either a fixed or variable charge per unit of energy used. Most energy companies structure their deals this way for residential customers in the UK.

Npower is one of the so called “big 6″ power and energy providers in the UK and has a range of tariffs to suit most people. To see if any of these are the cheapest for your home check the “home energy prices” button at the top or bottom of this page. Here’s the list of tariffs.

Npower Bill Saver

Does what it says on the tin really. It’s a discounted tariff from their own standard tariff (which is fairly typical these days). You get a massive 7% discount on gas and electricity until the end of August 2013. And if you pay by direct debit a £100 refund after 12 months.

It’s available for both new and existing customers and is a variable tariff so if the standard rates increase then so will these (although they will always be 7% less until this deal ends). If you change your mind there are no early exit penalties.

Npower Juice – the Green Alternative

If you want your energy to come from renewable sources then this could be for you. And it’s the same price as their standard tariff (so no premium to pay).

Of course the 100% renewable is only for electricity (because gas is gas and can’t come from renewable sources). You can of course take a dual fuel tariff with this option. There are no early exit penalties and you can still get your £100 discount after 12 months by paying with direct debit.

Go Save

The go save tariff is the same as the standard tariff but you get a £5 discount per fuel by providing meter readings. It’s better going for the bill saver and receiving a 7% discount because you can still provide your meter readings in your online account.

Standard Tariff

Every energy company has a standard tariff which has variable pricing (ie: prices rise and fall as notices are made in the national newspapers).  These are always the most popular tariffs but you do miss out on discounts if you are still on these. It’s always best to get an online comparison and see what option is best for you. For example the bill saver will save you 7% on the standard option and there are no penalties if you move.

Go fix options

The go fix tariffs means you can budget your electricity and gas bills for a certain period of time. They are changed every so often to build in a longer end date. The unit prices are generally slightly higher than standard but you know they won’t increase if the variable prices increase. A good choice when prices are rising. You will also receive the annual £100 discount for paying by direct debit.

There are a few more options such as energy discount (which carries a 2% discount and prices are capped) or the football tariff (which gives you a £45 voucher to spend with football league clubs on the main standard variable tariff) or a National Trust tariff.

Our best pick of these is the bill saver tariff. Most of these tariffs are not available for pre-payment meters but are available for new and existing customers. Check out which is best for your postcode by carrying out an online comparison (use one of the buttons below).

This tariff is no longer available – please search for current available options using the buttons above. If you are already an npower customer or have undertaken a comparison and want to stay on variable pricing then the npower sign online 23 tariff may be for you. This option provides a paltry 2% discount from their variable standard pricing and you must pay by monthly direct debit. You can of course manage your own account online – however there are cancellation charges if you leave early.

By paying by monthly direct debit you also receive additional discounts. Prices vary around the country by region so you’ll need to compare prices to ensure that you have accurate rates available and this is available for gas and electricity or both as a dual fuel option.

From the highest prices for customers in the UK you could save up to £458 by switching to this tariff.

Npower Sign Online 23 Tariff Features

Here are the main discounts and features of the sign online 23 tariff

• 2% discount from their standard tariff prices
• Variable pricing so rates can go up and down
• Discount applied until November 2012
• You must have paperless billing
• You must pay by monthly direct debit
• Cancellation fees apply if you opt out of this tariff within the contract period

Is sign online 23 a good deal ?

This will of course depend on where you live in the UK (because of regional pricing) and the current tariff you are on with your current supplier. Certainly if you are on a standard tariff and not paying by direct debit then any energy provider can offer you a better deal.

The best way to start is by comparing prices online (see the big buttons above and below this tariff summary) – you can also switch to the new tariff online if you find it’s right for your circumstances.

At the present time with wholesale prices fluctuating there aren’t so many good deals around – the best you can do is to sign up to one of these discounted rates or if you want to know what you are going to be paying over a longer term then investigate some of the fixed rate deals that are still on offer.

Last month it was Scottish Power but now increases in British Gas prices have been announced at 18% for gas and 16% for electricity. Scottish Power “only” increased their electricity prices by 10% so this is a massive blow to domestic energy bills. The increases will take effect on August 1st this year. Of course anyone on a fixed rate deal is unaffected but those on standard or discounted tariffs will see the increase in their next bills.

The other energy giants (eon, edf, southern electricity and npower) have yet to make their move but they all generally follow british gas – normally bg is the first to make the move to increase or lower prices and no one followed scottish power’s lead last month – but the others are sure to follow.

So if you have been waiting to make a decision on whether you should switch you energy supplier then today may be the time to do it.

Check out fixed and capped deals

The problem when price rises are announced is that the existing fixed and capped deals are quickly taken off the market so if you want to see what fixed rate tariffs are on offer at the present time then it’s worth undertaking a comparison.

Click here to compare electricity and gas prices online now

The above site will present all the available tariffs to you but beware that the price increases for british gas and scottish power are not yet in effect so those may be shown as being the best tariffs but they will soon increase by the 10% – 19% from the increases mentioned above.

All you need to make an online comparison is your postcode, your current supplier together with your current tariff name and your estimated annual spend on energy or your consumption data. You’ll then be able to see if you can save any money by switching or at least just how much it’s going to cost you to fixed prices for perhaps the next 2 to 3 years.

Bear in mind that the tariffs are on the current rates and certainly if the other big 4 companies increase their rates (which is a strong possibility now that british gas prices have increased) then the tariffs you switch onto will also increase down the line (unless they are a fixed or capped tariff).

So during the increased hikes in prices just be aware that what you will presented with may increase once the energy companies put through their increases. BG said of course it was due to the increase in the wholesale market where they say that prices rose by around 30% – commentators suggest that energy prices will continue in this manner for some time, but of course no one can predict the future.

So it’s best to check out the current tariffs and if you can avoid the increases in british gas prices by switching to a fixed rate tariff today.

The new edf online saver 10 tariff is one of many tariffs that allow you to manage your account online and provide a discount over their standard tariff. For EDF the discount is a small 2% although it is one of their cheapest tariffs online – but it may not be the cheapest.

It’s best to check out their website. Click here for EDF tariff pricing to see all prices together.

Online Saver 10 at a glance

As we have mentioned this is a discounted rate off their standard tariff prices. This means if EDF increase prices in the future then the rates on this tariff will also increase – ie: this is not a fixed price dual fuel tariff nor a capped rate. The overall features of this new tariff are as follows :

• 2% discount off standard tariff rates
• Discount until 30th September 2012
• Monthly direct debit customers only provides a 6% discount
• Can only sign up for this tariff online
• Not available on price comparison websites
• Early termination fees apply of £25 for each fuel you take
• Can be a dual fuel or electricity only tariff

Depending on where you live in the UK this tariff is slightly cheaper than the previous version 12 of the online saver series.

How do I get EDF online saver version 10 ?

If you like the sound of this tariff or are just on the EDF standard tariff and want to save that extra 2% per month and want to stay with EDF then this might be for you. You can only sign up for online saver via the EDF “save today save tomorrow” website so that’s the place to go – there is a little more information there as well.

On the website you can check just how much the costs are likely to be to see if your energy bill is going to increase or decrease by moving to this tariff. One of the best ways is to use a price comparison website. Although most tariffs are shown not all can be chosen via their sites but they list them all for transparency.

But it’s always worth undertaking a whole of market search just so you know what is on offer and the types of tariffs available. You can choose from a variable type price option like the online saver and prices will fall and rise as they are generally linked to the standard tariff. Of course there are various limited time promotions for fixed and capped rates for gas, electricity and dual fuel rates to choose from.

However, if you like the sound of this tariff then click here to get more details and see if you can make a saving now and in the months to come before the end of this contract period.

If not or you are unsure, then click on one of the buttons below to get a comparison of all prices on the market and choose your options from those.

The new eon fixed price 5 tariff could provide peace of mind to those who want to insure against price rises which may occur over the coming years. This is one of the longest fixed price tariffs available on the  market but comes at a premium. The rates are currently 9% higher than their standard tariff which is not the cheapest in the market in any case.

However, for those people who want the assurance that they can budget their bills for the next two winter periods then this may be something to consider. The best way to see if this is the tariff for your home is to compare prices online and see how this tariff compares with other fixed rate options on the market today.

Eon Fixed Price 5 Tariff Features at a Glance

Here’s our quick guide to this tariff and the features that it provides

• fixed prices for gas and electricity until 1st July 2013
• 9% premium on prices against the current Eon standard tariff
• no cancellation penalties if you move before the end of the contract
• an additional 8% discount if you pay by monthly direct debit
• customers can earn Tesco clubcard points on this tariff
• available for most customers but check the terms
• can be used for dual fuel contracts or single fuel
• average dual fuel price on this tariff is £1,126

If you decide this tariff is for you then you can either get quotes from one of the many price comparison websites or go direct to Eon and sign up online.

Fixed or variable tariff ?

All the major energy companies are preparing UK homes and businesses for potential price rises over the coming years. If you are happy to stay on a variable contract then Eon’s cheapest tariff is with their sign online rates. Last time gas prices increased they rose by 9%. The sign online tariff has a 6% discount from the standard tariff so in effect the fixed priced rates are 15% higher than the cheapest option.

The good part about this fixed tariff is the length of the contract which is over 2 years and if you see that energy prices fall then you can opt out without paying any penalty and switch to a variable tariff at any time during your contract. This added flexibilty may sway some people in choosing this tariff right now whilst energy consumption is at its lowest during the summer months and to see how price changes occur before the onset of the next winter period.

Although there are many things to consider the best way to see what options are available to you is to use a price comparison service. This way you’ll see all the prices for your home and postcode (as they vary from region to region around the UK) and then choose the tariff for you and then switch online if required. We like the concept of the Eon fixed price 5 tariff for the length of the contract period and that there are no exit penalties.

This new launch of the British Gas websaver 12 tariff is their cheapest online tariff based upon their standard prices which are also currently the cheapest standard prices in the UK. It’s based on dual fuel pricing so that you need to take out both gas and electricity at the same time with BG but that’s not so bad because the savings can be huge. Just based against their standard tariff you’ll save an additional £75 per year all the way until 30th September 2012.

If you are not on a dual fuel tariff or are not paying your bills by direct debit then there are additional discounts to be had. And if you have seen the headlines on the price comparison sites where you can save roughly £300 per year by switching then you may be able to realise some of these savings by switching to this tariff.

You also get the chance to add on their energy extra 50 option which provides peace of mind for repairs to central heating systems for a small monthly payment. If you go direct to the British Gas website then you’ll be able to see these options which can be added when you apply. There are cancellation fees if you move from this tariff before the end of September next year so please bear these in mind. This tariff is not available with their energy smart deals.

Also with British Gas websaver 12 you get to earn nectar points which although not a massive amount will help pay some other bills.

British Gas Websaver 12 Tariff at a Glance

Here are the main features of the websaver 12 tariff from British Gas which is their cheapest online tariff

• cheapest online tariff
• discounted rates from the standard prices
• discounts available until 30th September 2012
• manage your account online
• provide meter readings so no more estimated bills
• for gas and electricity together
• cancellation fees apply
• must pay by fixed monthly direct debit

The websaver products are extremely popular and they are always only for a limited period so if you think this tariff may be for you then you’ll need to apply quickly.

How do I websaver 12 for my home ?

The best way is to first check that this is the best option. If you are just looking for the cheapest prices then use our price comparison service (click here to see prices for your home) – as energy prices vary region by region you’ll need to check the current offers by entering your postcode.

If you decide this tariff is for you then you can switch online. If you are not already with British Gas then our comparison provider will undertake all of this for you. All you receive are cheaper bills. There is no loss in supply and the paperwork is undertaken on your behalf.

Be aware that this is a variable rate tariff so if prices go up for the BG standard tariff then so will the prices on this British Gas websaver 12 tariff so be sure you want this rather than going for a fixed price option.

Almost all of the big energy companies are now providing a free energy monitor when you switch your energy to one of their specialised tariffs and British Gas are no exception. Their renowned energy smart tariff combines discounted rates together with the electronic monitor that is easy to plug into your home and see just how much electricity you are using at any given time so you are able to adjust your usage and thus lower your bills.

Interested then click here to learn more about energy smart

The energy smart option is not a separate tariff per se but an option that you can add into your existing tariff (although it doesn’t apply to the websaver tariffs because these are BG’s cheapest options). Having said that the monitor is worth perhaps £50 but you get much more besides.

What else comes with your energy monitor ?

The actual monitor is just the beginning of the exercise as you also receive all the following benefits :

• A free energy monitor that provides instant readings of your electricity consumption
• Access to free online tools and reporting that shows your usage over a period of time
• Estimated savings of up to £150 per year – because you are seeing what appliances are generating the most consumption just by using the monitor you will probably change your usage of certain items in your home which will lead to lower bills in the longer term
• You submit your own meter readings so your bill will be 100% accurate – BG have made submitting the data really easy – you can log into your online account, send a text message or use their free iphone app
• No more paper bills – you’ll get an email when your bill is ready so you can log on and check to see what is happening
• Get 3,400 nectar points each year just by having energy smart
• Use the British Gas free iphone app – check everything on your account and submit your meter readings

Are you an existing British Gas customer? Then add energy smart today

This offer is available for new or existing customers of British Gas – if you are an existing customer just visit the British Gas website and add energy smart to your account. It’s really that easy. Once this option has been added then you will receive your energy monitor in the post.

Setting up your energy monitor

This is the real easy part. The actual monitor just plugs into your mains electricity (and the usage is negligible) and then there is a small transmitter device that you clip onto your meter wiring. You need no special skills and the transmitter really does clip on. Once you have both parts ready you are set. The monitor will then be collecting the data which you can read directly or go to your iphone app or online account to view the data over a longer period of time.

Sounds good ? Then get your free energy monitor here

This new tariff follows the same logic of their other discounted rates and is called british gas websaver 11 which provides you with a massive 6% discount off their standard tariff for the next 14 months. This tariff provides you with the cheapest prices and rates available from british gas and is very popular amongst BGs customers. The discount is available until 31st May 2012 and you also get to manage your account and bills online so you can say goodbye to estimated bills as you provide all your meter readings and your bill is calculated on these values. Of course like most cheaper tariffs offered by the energy companies you need to sign up online and pay by fixed monthly direct debit.

British Gas Websaver 11 at a glance

Here are the main features of the british gas websaver 11 tariff that you can sign up for :

• A fixed 6% discount from their main standard tariff
• This means an average £135 discount for dual fuel customers
• Now available with nectar points in conjunction with sainsburys and other providers
• Manage all your account and bills online
• Available only with a fixed monthly direct debit option
• Other options and discount available such as energyextra 50 which allows for one off repairs to your home gas central heating system as well as plumbing and drains
• Websaver is a variable rate tariff so if British Gas increase their prices so these prices increase – but you still receive the same 6% discount for the duration of the contract
• Some exit penalties apply if you move away from this tariff during the contract period

Overall we like the websaver 11 tariff from British Gas and it has proved very popular with residential customers across the board. If you want fixed prices then this is not for you but if you are on a BG standard tariff then you should seriously consider this because you are guaranteed to save 6% – there are also additional discounts for paying by direct debit if you don’t currently pay your energy bills in this manner.

How do I get websaver 11 for my home ?

You have a few choices. Either visit British Gas websaver page directly and sign up online. You can also go to one of the various price comparison websites just to check if this is the cheapest tariff option for your circumstances, and if it is then simply select this tariff and you’ll be switched onto by British Gas. Switching is easy and BG will undertake all the paperwork and changes on your behalf and you want see your connection being cut off at all.

So if you want to save 6% off your British Gas energy bills then we believe this is a good tariff to choose. Either go directly to the BG website or choose the “home energy prices” button below for more information about websaver 11 and other tariff options that may be suitable for your circumstances.

The UK energy market is made up predominantly of six suppliers who control most of the supply for gas and electricity. These providers are of course :

• British Gas
• EON
• EDF
• Npower
• Scottish Power
• Southern Electric

Since deregulation of the energy market residential customers and business users are free to choose who invoices them for their fuels. It’s a straight forward task although commercial tariffs are slightly different. For most businesses you get :

• Fixed prices for the duration of the contract
• A contract length of at least one year
• Contract options to two and three year in length
• Although the contract has a fixed period you must terminate it during the termination phase

This last point is where problems occur with price fluctuations for business users and is currently unavoidable. We’ll discuss this later but for now….

Additional Energy Suppliers in the UK

Apart from the six mentioned above there are some entrants you may have not heard of before. These are Gazprom (mainly for gas), good energy and green energy (for 100% renewable sources), OPUS energy (been around for a while now) and CNG. These can all supply businesses direct and are worth checking out. When you get online quotes with our service you will also get rates for the new entrants as well.

Avoiding Roll Over Contracts

This is where the business energy sector differs from residential. A new Ofcom ruling means that the energy suppliers need to inform micro businesses of their contracts completing each year. This is unfortunately only for new contracts taken since January 2011 and only for small businesses. For everyone else the standard process remains the same.

For every one year contract taken out it only lasts for exactly one year. Once that year is up and if your business doesn’t do anything the energy companies will extend that for another year (or roll it over). When they roll the contract term over they will likely increase your prices by around 30-40% and there is nothing you can do.

To avoid this price increase you must terminate your contract. Within the terms will be a fixed period of time when you can communicate that you wish to serve notice. And only then can you switch to cheaper rates. You need to do this whether or not you want to stay with your existing provider or not. There’s a handy online termination letter that you can use as a template.

How Prices are Set

Wholesale pricing is the driver of retail pricing as with any industry. For residential customers the energy providers update their tariffs perhaps 2 or 3 times per year. This is when they increase or reduce their standard tariff and then discount from there.

For business users the prices can change each and every day although mostly they change once per week. This is a direct result of changes in the wholesale energy industry and if you get live prices these are generally only valid for that day. As prices are always fixed for the contract term it’s best to wait whilst wholesale prices are falling but quickly sign up if they are rising.