MARTIN Lewis’ MoneySavingExpert has issued an urgent warning for E.ON customers to check bills now.
The advice comes after Martin told customers to take advantage of a “decent” fixed energy tariff in February 2022.
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The consumer champion said E.ON customers on the standard variable would be wise to take advantage of the E.ON Next Online V11 one-year fix.
But the deal is close to expiry and customers on the fix will soon face higher bills when they’re automatically moved onto the standard variable tariff.
Under the Energy Price Guarantee, the average household on the standard variable tariff pays no more than £2,500 a year on their energy bills.
But average bills will rise to £3,000 from April when the Energy Price Guarantee is hiked by £500.
Off the back of this news, Martin wrote to the Chancellor and called for April’s bill rise to be postponed.
E.ON customers who took out the firm’s cheap fix last February will see their bills rise by £529 from £1,971 a year to £2,500 when the fix ends at the end of this month – a 27% increase.
Instead, they will be rolled on to E.ON Next’s standard variable tariff.
While the fix was more expensive than the energy price cap back in February 2022 – those who opted to secure it have still saved money in the long run because energy bills have continued to rise.
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The MoneySavingExpert team said: “The fix was actually 54% more expensive than the energy price cap in February 2022 and the provider’s standard tariff.
“But it was the same price as April 2022’s price cap, which had just been announced.
“Further hikes to energy bills were predicted throughout 2022, and as we know now, energy prices rose again in October – to £2,500 a year following Government intervention and the introduction of the energy price guarantee.
“So looking over the life of the 12-month fix it was a good deal.”
How to reduce energy bills
As the market is still in crisis, with no fixed deals cheaper than the Government’s Energy Price Guarantee, there’s little you can do to avoid the increase.
But there are four things that customers can do to minimise the blow.
Firstly, customers should check they’re paying the correct amount.
MoneySavingExpert offers a free direct debit calculator which can help indicate if you’re paying more than you need to.
If you’re unhappy with the service you’ve received consider switching energy supplier.
Which? has ranked a full list of energy suppliers on customer service, complaints and the level of support they give.
It asked 10,197 energy customers to take part in the survey altogether and Octopus Energy came out top.
MoneySavingExpert said that most firms are accepting new customers online again so if you’re really fed up consider it.
Cutting your energy usage is the simplest way to reduce your energy bills.
We’ve previously listed 30 ways to cut energy bills now.
Lastly, customers should urgently check to make sure that they are getting all the help they’re entitled to.
As part of the Autumn Statement, it was revealed millions on benefits and Universal Credit will receive an extra one-off £900.
Struggling families are also eligible for the £150 Warm House Discount to help them tackle the cost of living.
Customers can also get help through their supplier’s energy grant schemes:
- British Gas Energy Trust Individuals and Family Fund
- British Gas Energy Trust
- EDF Customer Support Fund
- E.ON and E.ON Next Grants
- Octopus Energy Assist Fund
- OVO Energy
- Scottish Power Hardship Fund
There’s also a one-off fuel voucher from your energy supplier if you’re on a prepayment meter.
