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Lock into Fixed Term Contract as Business Electricity Prices Rise

Cash-strapped businesses, electricity customers, and households should consider locking into fixed energy tariffs as suppliers compete for customers following Scottish and Southern Energy’s (SSE) 8.2% price rise. Locking into medium or long-term deals could help stave off winter bill shocks.

More suppliers are expected to announce inflation-busting price rises as soon as winter approaches. Consumers should opt for certainty by considering the fixed-term deals being offered by suppliers battling it out for business.

The other big six suppliers will now follow SSE’s lead and increase their winter fuel prices. While this is not good news, it is the perfect time for business and household consumers to look for fixed-term business electricity contracts that provide certainty and enable them to manage their energy bills better.

Do not allow yourself be to be caught by the price hike – ACT NOW…

Skyrocketing energy prices are bad enough, but being caught by surprise by a price hike can be disastrous. One, two and three-year deals were available, with suppliers spurred on to offer different incentives in the aftermath of SSE’s announcement and Labour leader Ed Milliband’s proposed energy price freeze and accusations of profiteering by suppliers.

Some were offering fixed-term deals with no exit fees, which meant consumers could leave the contract early if they found a better deal.

Fixed energy tariffs are always recommended before the prices go up over winter

Get the best deal from reputable price comparison and switching sites…

The easiest way to work out the best deal for your needs is to use a reputable and independent business electricity comparison and switching service. Although OFGEM has recently brought in changes forcing suppliers to reduce the number of tariffs they offer, the system is still very complex. For instance, opting for a medium or long-term contract might not start saving straight away but the financial benefits will flow through if energy prices rise further.

While there was no guarantee that all suppliers would raise their prices, industry analysts agreed it was likely. There is no way of knowing for sure whether this will happen, but the signs are that once one supplier raises its prices, others will follow.

Keeping on top of your energy spend is essential as prices climb higher…

Furthermore, there are other benefits for householders to consider. Fixed term deals take the worry out of energy bills and help families to budget accordingly. Fixed deals do not mean that bills are fixed, simply that the price per unit of energy is fixed. But combined with conserving energy, keeping on top of bills, taking regular meter readings, and switching suppliers regularly, consumers can still save a lot of money.

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