EDF has launched a new tariff that could help households save on their energy costs which comes as welcome news to families following Ofgem's latest price cap announcement.
The regulator announced that typical households on variable rate tariffs will see their annual energy bills climb to £1,738 between January and March 2025. This represents a £21 increase, or 1.2 per cent, from the current cap level. The latest hike means households will pay an additional £1.25 per month on average.
However, firms such as EDF are stepping up to the plate and offering competitive deals for Britons looking to make savings on their gas and electricity costs over the winter month.
The energy supplier's Simply Fixed Direct 1yr Jan26 tariff is priced at £1,608 for typical average energy users paying by direct debit. This makes it the "cheapest energy-only 12-month fixed tariff" among major suppliers.
The deal offers significant savings of £130 compared to January's upcoming price cap, based on EDF's earlier forecast for the price cap. Customers do not need a smart meter to sign up, and there are no exit fees when signing up directly through EDF.
Market volatility has been increasing in recent weeks due to several global factors. The cold weather has contributed to price pressures, alongside growing concerns about gas supplies from Russia.
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Instability in the Middle East and the ongoing Russia-Ukraine conflict are adding further uncertainty to energy markets. The result of the American election is also affecting global gas price predictions with the market beginning to price in potential tariffs from the oncoming Trump administration.
Looking ahead, while the price cap is expected to rise again in April, forecasts suggest it could decrease by July. However, these longer-term predictions remain uncertain due to fluctuating wholesale prices.
Rich Hughes, the director of Retail at EDF, encouraged consumers to take advantage of his company's offering while they still have a chance of slashing their overall bill.
He explained: "With cold weather setting in and the price cap set to increase again, we know people are more concerned about the cost of their energy bill.
"Just like we have all year, we will keep our prices as low as possible, so we can help and offer again the cheapest priced energy only fixed deal of the major suppliers."
As well as this tariff, EDF is providing extra support to its customers through its Sunday Saver programme The scheme provides up to 16 hours of free electricity per week for customers who reduce peak energy use.
Those signing up for December's challenge will receive eight hours of free electricity on Christmas Day. EDF has also introduced a 12-month tracker tariff as an alternative option for customers.
This tariff tracks £50 below the price cap, with a £25 per fuel saving applied to standing charges. The structure ensures all customers benefit equally, regardless of their energy consumption or payment method.
Existing customers can access these new tariffs through their MyAccount. New customers looking to switch to EDF's latest deals can sign up through the company's website. The deal could be withdrawn at any time due to wholesale price volatility.
LATEST DEVELOPMENTS:
Gareth Kloet, a spokesperson at Go.Compare energy spokesperson, urged households to switch providers in order to secure the best possible deal for them.
He shared: "As energy consumption rises with the colder, darker days and we see increased pressure on the UK’s energy supply, today’s announcement of another energy price rise likely won’t be a surprise to many. However, as with any price increase, it’s sure to be unwelcome news for many households.
“The energy market has warmed up in the last year though, and there are options out there when it comes to switching providers which could potentially help you save some money.
"If you are currently on a flexible tariff, then now is the time to take a look at some of the fixed-rate deals on the market – there are a variety of suppliers with deals at the moment which could help soften the blow of this price rise."
Find Out More...
The regulator announced that typical households on variable rate tariffs will see their annual energy bills climb to £1,738 between January and March 2025. This represents a £21 increase, or 1.2 per cent, from the current cap level. The latest hike means households will pay an additional £1.25 per month on average.
However, firms such as EDF are stepping up to the plate and offering competitive deals for Britons looking to make savings on their gas and electricity costs over the winter month.
The energy supplier's Simply Fixed Direct 1yr Jan26 tariff is priced at £1,608 for typical average energy users paying by direct debit. This makes it the "cheapest energy-only 12-month fixed tariff" among major suppliers.
The deal offers significant savings of £130 compared to January's upcoming price cap, based on EDF's earlier forecast for the price cap. Customers do not need a smart meter to sign up, and there are no exit fees when signing up directly through EDF.
Market volatility has been increasing in recent weeks due to several global factors. The cold weather has contributed to price pressures, alongside growing concerns about gas supplies from Russia.
Do you have a money story you’d like to share? Get in touch by emailing [email protected].
Instability in the Middle East and the ongoing Russia-Ukraine conflict are adding further uncertainty to energy markets. The result of the American election is also affecting global gas price predictions with the market beginning to price in potential tariffs from the oncoming Trump administration.
Looking ahead, while the price cap is expected to rise again in April, forecasts suggest it could decrease by July. However, these longer-term predictions remain uncertain due to fluctuating wholesale prices.
Rich Hughes, the director of Retail at EDF, encouraged consumers to take advantage of his company's offering while they still have a chance of slashing their overall bill.
He explained: "With cold weather setting in and the price cap set to increase again, we know people are more concerned about the cost of their energy bill.
"Just like we have all year, we will keep our prices as low as possible, so we can help and offer again the cheapest priced energy only fixed deal of the major suppliers."
As well as this tariff, EDF is providing extra support to its customers through its Sunday Saver programme The scheme provides up to 16 hours of free electricity per week for customers who reduce peak energy use.
Those signing up for December's challenge will receive eight hours of free electricity on Christmas Day. EDF has also introduced a 12-month tracker tariff as an alternative option for customers.
This tariff tracks £50 below the price cap, with a £25 per fuel saving applied to standing charges. The structure ensures all customers benefit equally, regardless of their energy consumption or payment method.
Existing customers can access these new tariffs through their MyAccount. New customers looking to switch to EDF's latest deals can sign up through the company's website. The deal could be withdrawn at any time due to wholesale price volatility.
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Gareth Kloet, a spokesperson at Go.Compare energy spokesperson, urged households to switch providers in order to secure the best possible deal for them.
He shared: "As energy consumption rises with the colder, darker days and we see increased pressure on the UK’s energy supply, today’s announcement of another energy price rise likely won’t be a surprise to many. However, as with any price increase, it’s sure to be unwelcome news for many households.
“The energy market has warmed up in the last year though, and there are options out there when it comes to switching providers which could potentially help you save some money.
"If you are currently on a flexible tariff, then now is the time to take a look at some of the fixed-rate deals on the market – there are a variety of suppliers with deals at the moment which could help soften the blow of this price rise."
Find Out More...