EDF Energy has revealed that it is to cut gas prices for almost one million of its customers in 2017, but has warned that electricity bills will rise from the spring.
From 6 January 2017, 700,000 EDF Energy customers on the company’s variable gas tariff would see prices fall by 5.2 per cent, knocking £29 a year of the average bill.
Meanwhile, electricity prices are to frozen until 1 March 2017, but following that customers could see their electricity bills would go up by 8.4 per cent, due to the higher cost of providing electricity to homes.
The changes mean that dual fuel customers with the company will see their bills rise by 1.2 per cent, to an average of £1,082 a year. Prepayment customers who take both gas and electricity from EDF will still pay 5.1 per cent less after March, at £1,081 a year.
With other providers expected to follow suit, energy experts have encouraged customers on standard tariffs to lock into cheap fixed-priced deals while they were still available.
Beatrice Bigois, managing director of customers at EDF Energy, said: “We want to help loyal customers by cutting gas prices ahead of the coldest winter months, and delaying electricity increases until later in the year. This will save customers money this winter. Gas prepayment customers on our variable tariffs will also benefit three months ahead of the price cap being introduced following the Competition and Markets Authority investigation.
“Many industry commentators have said that prices charged by energy suppliers will rise after the winter. We are being open about the fact our electricity prices will go up after our price freeze. But we also know it is right to pass on to loyal customers the fall in gas costs that energy suppliers have seen over recent months.
“With energy prices rising, we will continue to make it easy for customers to move onto EDF Energy’s fixed tariffs, where they can save money and get peace of mind. Letting customers know now provides them with more time to lock in a cheaper fixed deal.”