Due to rising costs and changes in government policy, npower has hiked its prices which will affect around 1.4m of its customers. Naturally, the 9.8% price increase has sparked strong criticism from consumer groups who argue that the rise will put a lot of pressure on household finances.
As of 16th March, npower will raise electricity prices by around 15% and gas prices by 4.8%. Simon Stacey, Managing Director at npower, said “This is a hugely difficult decision, and we have delayed the date until after the coldest months of the year. We have also made sure that our most vulnerable customers will not see any impact until May”.
Speaking on the news, Shay Ramani, Founder of energy comparison site FreePriceCompare.com said, “When energy prices went down, energy suppliers were slow to reduce their prices and now that things have got tougher they have increased the prices by a huge percentage”.
“Expectedly, customers and consumer groups are furious but as I’ve said time and time again, all energy bills payers must look around for the best deal. So far npower and edf have increased prices, and by April it is likely all others will have followed the trend. To avoid paying over the odds customers must look for the cheapest fixed tariff deal now”.
If you want not to leave Npower as your energy supplier, you can move to the fixed price tariffs offered by Npower rather than overpaying for standard variable tariffs. Online Price Fix March 2018 and Feel Good Fix May 2019 are two latest tariffs announced by Npower.
“Use our hassle-free energy comparison tool, it will only take 5 minutes and at the very least you will walk away knowing you have got the cheapest deal available in the market”.
In line with Mr.Ramani’s words, a two-year investigation by the competition watchdog noted that 70% of domestic customers of the “Big Six” suppliers were on expensive standard variable tariffs and they could save over £300 by switching to a different supplier or tariff. Due to such factors, across all the suppliers, it was noted that customers overpay by around £1.4bn a year for their energy services.