Only British Gas, E.ON Next and Octopus Energy have confirmed that customers on fixed energy deals will automatically receive the Budget savings when they kick in from April
Customers on standard variable tariffs, which are pegged to the price cap, will automatically see the savings reflected in their April 2026 bills(Image: monkeybusinessimages via Getty Images)
Consumer experts are sounding the alarm that millions of households could be left in the cold over the Chancellor’s promised £150 annual reduction to energy bills, unless suppliers urgently clarify how these savings will be implemented.
So far, only British Gas, E.ON Next and Octopus Energy have publicly pledged that customers on fixed energy tariffs will automatically pocket the Budget savings from April.
It’s believed that a few others, including EDF, Co-op Energy, Ecotricity and Ovo, plan to follow suit, according to moneysavingexpert.com. However, several suppliers remain tight-lipped about their plans, leaving households in the dark about whether they’ll reap the benefits of this much-publicised support.
Consumer experts are sounding the alarm that millions of households could be left in the cold over the Chancellor’s promised £150 annual reduction to energy bills(Image: NurPhoto, NurPhoto via Getty Images)
This cautionary note comes courtesy of Uswitch, which warns that this lack of transparency could deter consumers from switching at a time when they stand to save the most. In last November’s Budget, the Chancellor committed to slashing average household energy costs by £150 annually by axing certain levies from domestic bills.
Customers on standard variable tariffs, which are pegged to the price cap, will automatically see the savings reflected in their April 2026 bills. But those tied into fixed deals have been left hanging for months, unsure if or how the benefit would trickle down to them.
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Uswitch has welcomed the assurance from three major suppliers but is urging the rest to step up to the plate. Significantly, households who switch to a fixed tariff with one of the confirmed providers could benefit doubly – initially by securing lower rates during the winter months, and subsequently in April when the levy reductions take effect.
From April onwards, energy bills are anticipated to be approximately £150 lower on average than they would have been otherwise, though some of these savings may be diminished by adjustments to the price cap.
This cautionary note comes courtesy of Uswitch(Image: Peter Fleming via Getty Images)
Richard Neudegg, director of regulation at Uswitch.com, said: “British Gas, E.ON Next and Octopus Energy deserve credit for removing all confusion and confirming that their fixed deal customers will automatically receive the Budget savings in April.
“Households can now confidently sign up with these suppliers for a fixed deal that will effectively save them money twice. They can secure cheaper rates now during the coldest months of winter, and they’ll see their prices drop even further in April without having to take any further action.
“We are now urging all other energy suppliers to publicly confirm how and when their customers will get these savings so more people can confidently get the cheapest energy possible this winter. Households can absolutely beat the price cap and save with a fixed deal, so it’s really important they don’t feel confused just at the time of year when they’re using the most energy.”
He further advised: “If you’re on a standard tariff, don’t wait for April to save on your energy bills. There are deals available that are £233 below the January price cap, meaning you can save on your heating bills during the coldest months of the year.”
