Should you fix your energy bills now?

Should you fix your energy bills now?

Normally the decision whether to fix your energy bills is a tough one. On the one hand is the attraction of fixing your energy bills so protecting your finances from any prices rises, for a fixed period of time. Usually one winter. But on the other hand fix deals have often been more expensive than the cheapest non-fixed deals available. Plus you run the risk of missing out on falls in the price of gas and electricity as fixed deals usually have a lock-in period. To break a lock-in usually requires you to pay a penalty, often negating any potential savings made from switching your energy deals.

What's currently happening with energy prices?

Following a mild winter and stiff competition between energy suppliers the price of energy is falling. Gas prices for 2015 are more than 25% less than last year with wholesale electricity prices now at a two year low.

So is now a good time to fix your energy bills?

Now is a good time to fix your energy bills as some of the best deals on the market are fixed deals. Make sure you check all the details of the fixed deal offers carefully as some deals have high exit fees.

What if I am already in a fixed energy deal?

Go to your suppliers website and check if they have a cheaper fixed deal on offer. If they have then contact them and ask if you can be moved over to this new deal. Many suppliers will negotiate with you as they are all keen to retain their customers. If, however, you are looking to move away from your current supplier then they are likely to charge you an exit fee.

What is the best way to compare energy prices?

If you follow my guide "How to find the best energy deal, switch & cashback in 17mins 39secs – a walkthrough" it will take you through the whole process and find you the best gas and electricity deal. So what are you waiting for? If you are interested in fixing, be warned these deals will likely disappear due to demand.