Households on E.on’s standard variable tariff will see their energy bills rise by an average of £22/year after the big six firm announced a series of changes to the way it charges customers.
E.on isn’t increasing the rate it charges for units of gas or electricity, but is instead scrapping a number of discounts it offers to customers on some tariffs, blaming the changes on “rising costs along with other factors in the market”.
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What is E.on changing?
The changes will come into effect for existing customers on E.on’s standard variable tariff from 19 April 2018, and also apply to all new customers getting a fixed tariff with immediate effect. Existing customers on a fix won’t see any change until their fix ends.
Here’s what’s changing:
- The £20/year discount offered to dual fuel customers is being scrapped.
- The £5/year discount offered to customers who opt for paperless billing is also being scrapped.
- The standing charge for customers who pay quarterly by cash or cheque will be increased.
An E.on spokesperson said: “We believe this will make it simpler and easier for customers to understand our tariffs and compare them with other suppliers in the market, the majority of whom do not offer these discounts.
“The impact on our customers bills will vary depending on payment method, bill choice and fuel selection. While some customers will pay no more as a result of this change, the average impact on standard variable tariff bills will be around £22 a year.”