ScottishPower has launched a fixed energy tariff offering a rate that’s £129 below Ofgem’s current price cap.
The tariff, Help Beat Cancer Flexi, which is fixed until April 2025, has an average bill value of £1,799, based on a typical dual fuel direct debit customer on Ofgem’s average consumption.
Ofgem’s current price cap increased by five percent on January 1 to £1,928 annually until March 31, 2024. The regulator will assess the price cap again in April.
The Help Beat Cancer Flexi April 2025 Tariff is available now on ScottishPower’s website and is subject to limited availability. Exit fees to end the contract early are £150 per fuel.
ScottishPower began its partnership with Cancer Research UK in 2012 and since then its employees, suppliers and customers have helped raise over £35million.
According to ScottishPower, more than 200,000 customers have already chosen the Help Beat Cancer tariff and for every month they’re on the tariff, ScottishPower makes a donation to Cancer Research UK on their behalf.
Energy providers have been increasingly offering competitive fixed energy tariffs following the drop in wholesale prices over the past year.
But while the energy market is unpredictable, due to it largely being impacted by global events, experts forecast that Ofgem will lower the price cap by around 16 percent in April.
This would bring prices down to £1,620 a year for a typical duel-fuel household, according to market analysts at Cornwall Insight. This reflects a saving of more than £300 from now.
Energy prices are then predicted to fall a further seven percent in July to average £1,497.15 a year, before marginally rising again in October to £1,541.72.
The price cap sets a limit on what suppliers can charge domestic consumers per kilowatt hour of energy used, and a limit on the standing charge (p/day) which covers the cost of supplying energy to the home.
Despite the forcased fall in prices, new research from green gas and renewable electricity supplier 100Green shows that almost two-thirds (63 percent) of people in the UK are considering fixing their energy.
Of those who had already fixed, 46 percent said they want to have more control over their monthly spending, and two-fifths (37 percent) said they are worried about being able to afford their energy bills over the next year.
One in seven (13 percent) said they feel confused, but it feels like their ‘safest option’.
Doug Stewart, Chairman of 100Green commented: “Our research has shown that searches for fixed deals are rising across the board, indicating that the public are concerned about market volatility and want the ability to take control of their finances where they can.”
100Green’s research found the number of online searches for fixed rate energy deals soared by 120 percent since the end of 2022, and up an astounding 48 percent in just the past three months.
Mr Stewart said: “If homeowners believe the indications are that prices will rise again, then fixing their energy rate might be a good thing, depending on the rate offered – and, of course, the downside of getting it wrong.”
