It’s an unprecedented time for the energy industry, and it has meant that we’re seeing some very unusual changes and trends.
They are temporary, but the knock-on effect is that price comparison websites are unable to show switchable energy deals for the time-being.
So, why aren’t there any switchable deals?
To put it simply, wholesale energy prices are through the roof. Energy is very expensive for the actual suppliers, and they can’t operate at a loss. It means they can’t offer cheap energy deals through comparison websites - they cannot afford it.
So, energy suppliers have withdrawn from price comparison sites for the time-being.
Can I get deals directly from suppliers?
It is quite possible that a supplier might offer you a competitive tariff directly. Market conditions affect everyone, so it really depends on the supplier and whether they are prepared to take you on board at a loss.
To get the absolute best deal around, you would really have to contact individual suppliers, essentially performing your own manual comparison. This is time-consuming and might not get you anywhere, which is exactly why comparison sites are so popular. Suppliers are taking a hit by withdrawing deals because their tariffs are harder to find, but it’s the only option for them right now.
Why isn’t the energy price cap stopping price rises?
The energy price cap applies to default tariffs, such as SVTs (standard variable tariffs). They would, in normal circumstances, be the most expensive option. That is why the cap applies to them.
Fixed tariffs are not subject to the cap, so they are becoming even more expensive.
Why are wholesale prices so high?
Low gas stocks combined with the high price of carbon are a key factor, alongside maintenance work in the North Sea oil fields which has constrained supply. These are just some of the reasons that have created a perfect storm for soaring energy prices.
When will deals come back?
That is tricky to answer. The industry is so erratic at the moment that the deals could return and then go again. It’s definitely not easy for consumers, especially those who have tariffs ending and are looking to secure a fixed price that’s cheaper than the default tariffs.
What should I do?
The situation is changing all the time and everyone's circumstances are different, so there's no single piece of advice to offer everyone. However, we have energy experts on hand who are happy to help you and answer any questions you might have. If you want to speak to us then please get in touch on 0800 074 0745. We can also take a few details and just let you know as soon as energy deals make their welcome return.