Spring energy bill hikes loom for 418,000 UK households

A staggering number of families, up to 418,000 households, are unknowingly heading towards a spring energy bill shock with significant increases in their gas and electricity costs unless they take immediate action.

Those who secured a 12-month fixed deal last year are being strongly advised to switch now to avoid being automatically transferred onto expensive standard tariffs when their plans end in May.

Uswitch.com, the comparison site, has raised the alarm, cautioning that failure to switch could cost households an additional £259 annually – a sum many simply can't spare during the current cost-of-living crisis.

READ MORE:

READ MORE:

This urgent call to action comes as 79 fixed tariffs from major suppliers including British Gas, EDF, OVO, E.ON and Octopus Energy are due to expire in the upcoming weeks.

If customers don't act, they'll be transitioned onto their supplier's standard variable tariff – typically priced at the maximum limit set by the energy regulator's price cap and among the priciest on the market.

For an average household, this could mean bills skyrocketing from £1,590 to £1,849 a year overnight – a nearly £260 increase unless they secure one of the cheaper fixes still available.

Alarmingly, these deals are vanishing quickly.

The cheapest tariff today – from challenger firm Outfox the Market – stands at £1,590, but experts warn prices could rise again if wholesale energy costs increase.

The collective cost to consumers could be astronomical. If all affected households were to roll onto default rates, the nation could be facing a £108 m.

Households across the UK might be on the brink of an eye-watering bill shock, according to Uswitch estimates. Yet, believe it or not, there's a shimmer of hope tucked away in the little-known 49-day rule.

Ofgem regulations state that households can switch from a fixed deal up to 49 days before its conclusion without copping any exit fees, giving them the chance to snag a better offer before prices take a potential leap.

Uswitch energy expert Elise Melville remarked: "It's rare to see such competitive fixed deals, and the window to act could be short. Anyone on a fixed deal that started last spring should check when it ends – and switch now to avoid being hit with higher bills."

As April and May approach, estimates suggest a staggering nearly 472,000 households are set to swap their supplier—a clear indicator that a considerable number are sprinting to sidestep the looming bill rise.

Amidst this rush, Uswitch is banging the drum for anyone uncertain about their current plan to make haste with a quick comparison and secure a fixed tariff before time runs out.