British Gas Energy Tariffs & Best Deals for 2025

April 1st, 2025
British Gas Energy Tariffs & Best Deals for 2025

Choosing the best British Gas energy tariff is key to managing your energy costs. You can pick fixed energy tariffs if you want stability. If you prefer flexibility, you can go for a standard variable tariff (SVT). British Gas offers many options to fit different needs.

British Gas Tariffs Overview

British Gas has several energy plans to meet different customer needs. The Ofgem price cap will go up on 1st April 2025. This makes it important to review the available tariffs. You might want to see if switching to a fixed deal can help you save money.

Standard Variable Tariff (SVT)

The Standard Variable Tariff (SVT) is the main plan for customers who do not pick a fixed-rate plan. This plan follows Ofgem’s price cap, and it can change every three months.

Key Features:

  • Flexibility – There is no fee to leave. Customers can switch to a new plan whenever they choose.
  • Price Variability – Rates adjust every three months. This change happens because of Ofgem’s price cap.

April 2025 Update: Customers with British Gas under the SVT will see an increase in prices. This change happens as the new price cap rates start.

Fixed Energy Tariffs

A fixed energy tariff keeps the unit rates the same for 12 or 24 months. This helps customers stay safe from market changes. At the moment, British Gas’s fixed tariffs for 2025 are cheaper than the Ofgem price cap. This means customers could save some money.

Key Features:

  • Price Stability – The unit rates remain the same throughout the entire contract period.
  • Contract Commitment – This usually lasts 12 or 24 months. If you cancel the contract early, there are exit fees.

Tip: A fixed tariff can help you feel safe from future price rises. But, you might miss out if the price cap goes down.

Prepayment Tariffs

Customers with a prepayment meter must pay for their energy supply before they use it. Prepayment tariffs can help people manage their budgets. However, they often have higher unit rates than Direct Debit tariffs.

Key Features:

  • Budget Control – It helps you monitor energy costs with a pay-as-you-go method.
  • Higher Costs – The unit rates and standing charges are often more expensive than what you pay with Direct Debit plans.

April 2025 Update: The price cap for prepayment plans will increase. This means these plans will become more expensive.

Detailed Tariff Comparison

Below is a comparison between British Gas’s Standard Variable Tariff (SVT) and a Fixed Tariff as of April 2025:

Tariff Type Unit Rate (Electricity) Unit Rate (Gas) Standing Charge (Electricity) Standing Charge (Gas) Exit Fee
Standard Variable Tariff (SVT) 27.03p per kWh 6.99p per kWh 53.80p per day 32.67p per day None
Fixed Tariff (1-Year) 25.50p per kWh 6.50p per kWh 50.00p per day 30.00p per day £50 per fuel

Note: Prices can change. Always check the latest British Gas prices before making your decision.

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Should You Switch to a Fixed Tariff?

Many British Gas customers are thinking about switching to a new fixed price tariff since the price cap will rise in April 2025. A variable rate tariff offers more flexibility. However, a fixed tariff can protect you from possible price hikes due to the cost of wholesale energy.

Here is a simple comparison of the Standard Variable Tariff (SVT) and Fixed Energy Tariffs. This can help you understand which option could give you the best overall improvement based on your energy use.

Tariff Type Pros Cons
Standard Variable Tariff (SVT) No exit fees, flexible Prices change every 3 months based on price cap predictions
May benefit if the energy market stabilises No protection from rising energy costs
Can track usage through a smart meter for better budgeting Uncertainty due to cost of wholesale energy fluctuations
Suitable for single fuel customers and dual fuel customers Could lead to higher bills if prices continue rising
Fixed Energy Tariff Protection from price rises, stable bills Exit fees apply (£50 per fuel)
Helps with budgeting and avoids energy debt Locked in for the length of your contract (12-24 months)
Available for new home owners and renters No benefit if electricity energy consumption values decrease in the market
Some available fixed tariffs are priced below the price cap predictions Less flexible if you want to switch to a new energy deal later

Who Should Consider a Fixed Tariff?

A fixed energy tariff may be a good option for:

  • British Gas dual fuel customers seek stable prices for gas and electricity.
  • They want to avoid price changes and prefer fixed rates.
  • Households with a smart meter track their energy use for better efficiency.
  • Homeowners or tenants moving into a new home desire a long-term energy deal with British Gas plc.
  • Electric vehicle (EV) owners rely on kWh of electricity for charging and need consistent costs.
  • Those with typical domestic consumption values want to find the best rates available.

Are There Any Special Fixed Tariff Offers?

British Gas regularly looks at its available fixed tariffs. Some offers might only be for customers who already have an account. If you meet the requirements, you may be able to get an even cheaper fixed price tariff through your British Gas online account.

British Gas is getting recognition for its great customer service and support for the UK energy sector. Recently, the company has been happy to team up with Team GB. It has also received awards in the industry for its customer support and creative efforts.

Who Might Prefer a Variable Tariff?

A variable rate tariff, such as the British Gas Standard Variable Tariff (SVT), could be a better choice for:

  • Customers who want flexibility and do not want to commit to a long contract.
  • Households expecting small changes in energy use. They are waiting to see if price cap predictions lead to lower rates.
  • Those who do not wish to pay exit fees if they change suppliers later.
  • Customers who depend on British Gas energy trust for financial help and prefer to avoid early termination penalties.
  • Those who track their electricity energy consumption values and expect a drop in wholesale energy prices.

How to Switch & Save on British Gas Tariffs

  1. Check your current tariff by logging into your British Gas online account. You can see what plan you are on and how much you pay.
  2. Compare available tariffs with Free Price Compare. You may find an even cheaper fixed price tariff or the best variable rate tariff for your needs.
  3. Look at your energy usage. Review your electricity energy consumption values and average domestic gas use. Think about if a fixed or variable tariff will save you more.
  4. Use Free Price Compare to switch easily. This will help you get the best overall improvement without interrupting your energy supply.

How to Switch & Save on British Gas Tariffs

Ofgem Price Cap Increase in April 2025

On 25th February 2025, Ofgem announced that the energy price cap will increase by 6.4%. This new price cap will take effect on 1st April 2025. It means that the maximum amount suppliers, like British Gas, can charge customers on standard variable tariffs (SVT) will go up.

  • New price cap (April 2025 – June 2025): £1,849 each year
  • Previous price cap (January 2025 – March 2025): £1,738 each year
  • Increase: £111 each year

The price cap limits how much suppliers can charge for unit rates and standing charges. Still, your energy bills will vary based on the amount of energy you use.

Tariff Type Electricity Unit Rate Gas Unit Rate Daily Standing Charge (Electricity) Daily Standing Charge (Gas)
Standard Variable Tariff (SVT) 27.03p per kWh 6.99p per kWh 53.80p per day 32.67p per day
Fixed Tariff (1-Year) 25.50p per kWh 6.50p per kWh 50.00p per day 30.00p per day

Source: Ofgem Price Cap Report (February 2025)

FAQs About British Gas Energy Tariffs

Will British Gas prices increase in April 2025?

Yes, British Gas prices will rise for customers on the standard variable tariff (SVT) due to the new Ofgem price cap.

Is a fixed tariff cheaper than a variable tariff?

A fixed energy tariff can help you save money if the prices of energy go up. However, keep in mind that fixed tariffs might have exit fees.

How does the energy price cap affect British Gas customers?

The price cap is the most British Gas can charge for every unit of energy. It also includes the standing charge for customers who have a variable tariff.

Does British Gas offer renewable electricity tariffs?

British Gas provides renewable electricity options that use 100% energy from renewable sources. This includes energy from wind and solar power.

Can I switch from a prepayment meter to Direct Debit?

Yes, you can switch from a prepayment meter to Direct Debit if you meet the requirements. Contact British Gas customer support for more details.

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