Ovo Energy is increasing prices for around 180,000 customers on its standard variable tariff from today (Friday 8 June), MoneySavingExpert can reveal.
The supplier, one of the largest outside the big six with around 800,000 customers, 23% of which are on its standard tariff, is hiking bills by 5.1%, adding £53/year to a typical dual-fuel household’s bill.
The rise comes in the midst of the energy price rise season, with all of the big six hiking rates in recent months. Just last week, SSE became the last of the giants to announce it was putting up its prices.
If you’re affected by this price rise, it’s likely you’re overpaying for your gas and electricity. Check if you can switch and save £100s/yr with our free Cheap Energy Club.
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How are prices changing?
The Ovo price rise only affects you if you’re on its standard variable tariff – called Simpler Energy.
Dual-fuel customers will see bills rise by an average £53/yr, from £1,037/yr to £1,090/year based on typical consumption. These prices include a £60 dual-fuel (or £30 for elec-only) discount for managing your account online.
If you manage your account over the phone, prices are rising by 4.8% from a typical £1,097/year to £1,150/year.
How can I beat the hike?
If you’re on a standard variable tariff, you can switch away from it without paying any exit fees.
There are much cheaper deals on the market – the cheapest, a variable deal from small supplier Outfox the Market, is £807/yr based on typical use – over £280/yr cheaper than Ovo’s standard tariff. Find the best deal for you by doing a full market comparison on our free Cheap Energy Club.
Yet Ovo are one of the top firms for customer service – coming at fifth place in our May 2018 poll, with 76% of its customers rating it great. If service is key for you when switching energy, rather than price, you can use our ‘Superb’ customer service Cheap Energy Club filter to see other firms with top ratings.
Even if you’re determined to stay with Ovo, it has cheaper deals. Its Better Energy (All Online) tariff costs an average £1,062/yr for dual fuel based on typical usage – around £30/yr less than its standard. You can search the cheapest deals with your current supplier on Cheap Energy Club.
What does Ovo say?
In a pricing statement on its website, Ovo Energy said the change to its prices is down to the ‘cost of commodities’ (i.e. wholesale gas and electricity, what suppliers pay for energy) that have ‘increased substantially over the past year’ and it is hiking prices to ‘remain sustainable and responsible’.