Learn how dual fuel switching works, from comparing tariffs to completing the switch. This guide helps you manage energy bills and potentially save money on your household costs.
Understanding Dual Fuel Tariffs
Switching to a dual fuel tariff involves getting your gas and electricity from a single supplier. This consolidates your household energy into one monthly bill and provides a single point of contact for customer service, simplifying the management of your utilities. It is a popular choice for UK households seeking convenience.
Who This Guide is For
This guide is intended for UK consumers who want to understand how to manage their energy costs more effectively. If you are looking to potentially lower your bills, simplify your payments, and navigate the switching process with confidence, the information here will provide a clear, expert-led overview.
Key Energy Terminology Explained
A clear understanding of a few key terms is essential before you begin comparing energy deals.
Dual Fuel Tariff
This is a contract where one energy company supplies both your gas and your electricity. The main benefit is administrative simplicity - one bill, one payment, and one company to contact. Suppliers often provide a small discount as an incentive for taking both fuels from them.
Early Exit Fees
If you are on a fixed-term contract, your supplier may charge you a fee for leaving before the end date. These fees can sometimes offset the savings from a new deal, so it is crucial to check your current contract’s terms and conditions before you decide to switch.
Smart Meters
These digital devices automatically send your gas and electricity readings to your supplier, ensuring your bills are always accurate and eliminating the need for manual meter readings. Many suppliers offer to install smart meters for free when you switch to a new tariff, and they are fully compatible with dual fuel accounts.
Exploring Your Tariff Choices
Dual fuel deals come in several forms, each suited to different priorities. While a dual fuel tariff is not always the cheapest option overall, understanding the different types helps you make an informed decision.
Tariff Types
- Fixed-Rate Tariffs: The price you pay per unit of energy is fixed for the duration of your contract, typically 12 or 24 months. This protects you from price rises and makes budgeting easier.
- Standard Variable Tariffs (SVTs): The price per unit can go up or down depending on wholesale energy costs. These tariffs offer flexibility as they usually do not have exit fees, but they lack price certainty.
- Green Energy Tariffs: Many suppliers now offer dual fuel tariffs that are backed by 100% renewable electricity. These are available as either fixed or variable plans and allow you to reduce your household’s carbon footprint.
Comparing Tariff Features
| Tariff Type | Price Stability | Flexibility | Best For |
|---|---|---|---|
| Fixed-Rate | High (price per unit is locked in) | Low (often includes exit fees) | Consumers who prioritise budget certainty. |
| Standard Variable | Low (prices can rise or fall) | High (typically no exit fees) | Consumers who want to avoid being locked in a contract. |
| Green Energy | Varies (available as fixed or variable) | Varies | Environmentally conscious consumers. |
The Financial Impact of Switching
Combining your energy supply can lead to savings, but it’s not guaranteed. Suppliers may offer a ‘dual fuel discount’, but it’s important to compare the final price against the best single-fuel deals on the market. For a typical UK household, average dual fuel bills for 2025 are forecast to be between £1,755 and £1,849 per year. While this is lower than the crisis peaks, prices can still fluctuate.
Always weigh potential savings against any early exit fees you might incur from your current supplier. The best deal is one that leaves you better off financially after all costs are considered.
Assessing Your Switching Eligibility
Any household in the UK that pays its own energy bills can switch supplier. The primary factor to consider is your current contract. If you are on a fixed-term deal, check if exit fees apply. If you are on a standard variable tariff, you are free to switch at any time without penalty.
It is also worth investigating government schemes designed to improve home energy efficiency, such as grants for insulation or new boilers. Reducing your energy consumption through these measures can lead to significant long-term savings, complementing the benefits of being on a competitive tariff.
The Switching Process Step-by-Step
Switching your energy supplier is a straightforward process managed by the supplier you are moving to.
- Gather Your Information: Find a recent energy bill to check your current tariff and usage.
- Compare Dual Fuel Deals: Use a price comparison website to see tariffs available at your postcode.
- Choose Your New Tariff: Select the deal that best fits your budget and preferences.
- Complete the Application: Apply for the new tariff online or over the phone.
- Let Your New Supplier Handle It: Your new supplier will contact your old one to manage the switch.
- Provide a Final Meter Reading: Give a final reading to your old supplier to ensure an accurate final bill.
- Relax: The switch is completed within five working days, with no interruption to your supply.
Weighing the Pros and Cons
Advantages of Dual Fuel
- Simplicity: One bill and one supplier simplifies household administration.
- Discounts: Suppliers often offer discounts for taking both fuels.
- Convenience: A single point of contact for all energy-related queries.
Disadvantages of Dual Fuel
- Not Always Cheaper: It can sometimes be less expensive to get gas and electricity from separate suppliers.
- Less Choice: Focusing only on dual fuel deals narrows the range of tariffs you compare.
Key Considerations Before You Commit
Before finalising your decision, take a moment to review the details. Read the terms and conditions of the new tariff carefully, paying close attention to the contract length and any exit fees. Remember that the energy market is dynamic; a great deal today may not be the most competitive in a year’s time. It is wise to review your options annually to ensure you are not overpaying.
Always compare the total cost, not just the discount.
Are There Other Approaches?
While dual fuel tariffs are convenient, they are not the only option. You can choose to get your gas and electricity from two different suppliers. This ‘mix-and-match’ approach requires more administrative effort, as you will be managing two separate accounts and bills. However, it can sometimes result in greater overall savings if you find particularly competitive standalone deals for gas and electricity from different companies.
Frequently Asked Questions
How long does the switch take?
Your switch should be completed within five working days. This happens after the mandatory 14-day cooling-off period, during which you can cancel the switch without any penalty.
Will my energy supply be interrupted during the switch?
No. There is no disruption to your gas or electricity supply. The pipes and wires remain the same; the only thing that changes is the company that bills you.
Do I need to contact my old supplier to cancel?
No, your new supplier will handle the entire process. Your only task is to provide a final meter reading to your old supplier to ensure your final bill is accurate.
Can I switch if I have a smart meter?
Yes, smart meters are fully compatible with switching suppliers and with dual fuel tariffs. Most suppliers will offer to install them for free if you do not already have them.
Is a dual fuel tariff always the cheapest option?
Not necessarily. While discounts are common, it is crucial to use a comparison site to compare dual fuel deals against the cost of getting your gas and electricity from separate suppliers.
Your Next Steps to a Better Deal
To start the process, locate a recent energy bill to find your current tariff name and annual energy consumption. With this information, you can use an Ofgem-accredited price comparison website to compare deals accurately. This is the most effective method for finding a tariff that is tailored to your specific usage and location, ensuring you secure the best possible value.
Disclaimer
This article provides general guidance and is for informational purposes only. It does not constitute financial advice. Energy prices and savings can vary based on your location, usage, and market conditions. Always carry out your own research before making a decision.
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FAQs
Common questions about managing your personal finances
Begin by tracking every expense for one month. Use an app or spreadsheet. No judgment. Just observe your spending patterns.
Cancel unused subscriptions. Cook at home. Compare utility providers. Small changes add up quickly.
Aim for 20% of your income. Start smaller if needed. Consistency matters more than the amount.
Choose reputable apps with strong security. Read reviews. Check privacy policies. Protect your financial data.
Pay bills on time. Keep credit card balances low. Check your credit report annually. Be patient.
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