The government has set out its own ideas to help consumers cut energy bills by being on the cheapest tariff. The main measures are:
- Limit suppliers to four core tariffs per fuel
- Require that the four core tariffs contain one standard variable rate tariff, and one fixed term fixed price tariff to ensure that these two tariffs, which account for 85% of all customers, are clear, simple and easily compared
- Allow suppliers freedom to offer the remaining two tariff types as they wish, to preserve customers choices, such as green tariffs
- Require that suppliers offer just a single price for each of the four tariff types
- Prohibit poor value 'dead' tariffs. This will ensure that no customers are left behind on poor value, out of date tariffs
It is possible that some of the best deals on the market will disappear. We could lurch from a minefield of deals to virtually none at all.
Downing Street sources are adamant tomorrow's energy bills announcement will stick to David Cameron's promise of lower tariffs, but will it?
Ministers are poised to announce plans to decrease energy bills in a bid to get customers on the lowest tariffs available.