Over the course of 2021, the rise of UK utility prices has skyrocketed. The price hike in consumer tariffs results from the increase in wholesale power and gas prices, which have made UK Utility companies struggle to keep their businesses open.
It led to consumers paying more to afford energy prices with the collapse of some of its main supply. On the bright side, there are affordable energy deals that can cut your costs when paying for gas and power.
Different Utility Providers in the UK
There are different options for choosing where you want to get your gas and power supply from.
Although big companies such as Ovo Energy, Scottish Power, EDF Energy, Eon, and British Gas supply most households in the UK with their utilities, consumers still have the option of going for a much cheaper supplier or choosing a company based on their preferences.
The utility crisis led to newer utility companies forming better options to help everyone cut costs. These companies include having renewable energy that is safer for the environment and going the online route by using smart technology to monitor usage.
But how do you find a company that meets your utility needs and saves you some money?
Here are some of the Utility Providers in the UK that offer non-traditional gas and power services during the energy crisis.
Ecotricity
This company offers green electricity that has been made from renewable sources. This company takes consumer money to fund new generations of renewable energy, which is then supplied to its consumers.
Utlilia
This company has gone digital, and now consumers can replace their existing gas and power metre with an online smart metre service.
This way, you can track your gas and electricity usage and stay within a budget by using a pay-as-go service to monitor the amount of money spent versus the amount of energy used.
Utility Warehouse
This company has created energy and broadband bundles, which combine a number of services and are paid for with a single bill.
These services include mobile, home insurance, energy, and broadband as one package.
Choose Your Utility Tariff
It is important to remember that the tariffs for gas and electricity differ in their rates.
Fixed tariff
A fixed tariff refers to the set price of the energy per unit. If you are on a fixed tariff, your rates won’t increase for the time period that you have agreed to.
In one way, this benefits you when there are price increases, as the fixed rates are not affected, but at the same time, you won’t receive any discounts when the price of the supplier’s rates drops.
Variable tariff
These tariff prices change every time the supplier’s prices change. If you are on your supplier’s default tariff plan, that will usually be variable.
However, you can change to be on a fixed tariff contract or find another supplier whenever you choose to make a shift to save money.
Here are some of the newer tariff options that have become available for consumers to choose from.
EV Tariffs
This tariff requires installing a smart metre and an electric car charger. This gives consumers free electricity for a few hours at night while charging the car’s battery using less electricity.
Smart Tariffs
These require a smart metre to be installed. Some smart tariffs also give a cheaper rate when used during certain hours of the day.
There are some tariffs, such as Octopus Energy’s Agile Octopus tariff, that tracks wholesale prices hourly and then updates its rate daily.
This way, consumers can save money when using electricity when it’s at its cheapest. A built-in feature on the app allows customers to be notified when the electricity rates fall below zero, so that they can then use electricity at a much cheaper rate.
Tracker Tariffs
These tariffs track the wholesale prices of the energy for the customer. This serves to show the customer the wholesale price of energy, and when it drops, they can see the amount of money they are saving, but also, they will be paying more when the wholesale price increases.
Use a Price Comparison Website for a utility provider
Comparing tariff prices can help customers get the best energy-saving deals when looking for an utility provider. Here are some tips to keep in mind when using price comparison websites.
- The website might only have a limited selection of tariffs
- Some tariffs can only be found on one price comparison website
- Some tariffs can only be accessed directly from the supplier
Switch to Another Energy Company
This can be done by using an auto-switching service, or customers can switch directly from one supplier to the next.
Using an auto-switch service like Utility Bidder can help customers find the cheapest utility provider and save money without having to do all the work themselves.
Conclusion: How to choose the best utility provider
The UK energy crisis has made it difficult for people to afford necessities such as gas and electricity.
By finding different companies and comparing their prices, consumers can save costs and still be able to keep the lights on.
Further reading: How not to panic when the cost of living rises.
