The Smart Way to Choose a Dual Fuel Tariff – 2023 Guide
If you’re looking for a way to spend less on your utility bills, you should consider a dual fuel tariff. With a dual fuel tariff, you will get your gas and electricity from the same supplier rather than using two different suppliers. Most of the time, people switch to a dual tariff because it’s more convenient and can be cheaper.
Dual fuel tariffs can be better value for money, but that isn’t always the case. Energy tariffs are constantly in flux, so keeping a keen eye on the market is always worth it. You might find that it’s cheaper to get your gas and electricity from different suppliers this year. The next year, it might be a better deal to get a dual energy tariff.
With that said, as a general rule, suppliers will offer deals and discounts to customers who opt to have a dual-energy tariff. Aside from potentially being cheaper, having a dual energy tariff is also more convenient. There’s only one supplier to deal with and one contract to keep track of. We encourage you to read more about dual fuel tariffs and find out if they’re the right choice for you.
How Do You Choose the Right Dual Fuel Tariff?
Your first port of call when you’re looking to switch to a dual fuel tariff is to look at your most recent energy bills. You should be looking at how much you’ve spent on gas and electricity, as well as how much gas and electricity you’ve used.
Armed with that information, you can start comparing energy suppliers and look for the best deal. You should also investigate the dual fuel tariffs your current supplier offers, if they do. The easiest and most efficient way to do this is to use a comparison site to see what dual fuel tariffs are being offered.
Take advantage of any online energy tariff deals that you may find. Online-only deals will generally be cheaper because you’re paying for less human involvement. You should also take note of the kind of discounts being offered.
The discount for choosing a dual fuel tariff can come in one of a few ways. Choosing the right dual fuel tariff for your business might depend on which type of deal works best for you. You may find the discount in the form of a lower standing charge or a cheaper unit rate per kWh.
The discount can also come in the form of cashback or a percentage taken off the energy bill. Something else to keep in mind when looking at dual fuel tariffs from different suppliers is whether you’re looking at a variable tariff or a fixed rate tariff.
Fixed Rate Tariff
On a fixed rate tariff, you’ll pay a set price for your gas and electricity for a set period of time. Fluctuations in the price of wholesale energy won’t affect how much you’re paying your supplier.
Your energy bill will fluctuate depending on how much energy you use. Energy suppliers typically offer fixed rate tariffs at competitive prices. With a fixed rate tariff, you’re also locked into the contract for a year. Breaking the contract early will most likely cost you an exit fee.
Variable tariffs are also commonly referred to as standard variable tariffs because suppliers typically have them as their default tariff. With a variable tariff, how much you pay per unit of electricity or gas will depend on the wholesale price.
If the wholesale price of electricity or gas falls, you’ll pay less for your utilities. However, if the wholesale price goes up, you’ll end up paying more for your utilities. If you decide to change suppliers due to a price increase, you probably won’t have to pay an exit fee. In the long run, it may make more sense to go with a fixed rate tariff.
How Long Does Switching Energy Suppliers Take?
Switching energy suppliers should be a quick and simple process. Once you’ve terminated your last contract, and found a new supplier, your new supplier will take care of the handover. Generally speaking, it should take more than 21 days for the switch to happen. It typically happens in two weeks or less.
A dual fuel tariff might be just what you need to cut down on your utility bills. Most suppliers will offer deals for combining packages because the market is so competitive. It’s just a matter of sifting through the deals and finding the one best suited to your business energy needs.