Utility Provider Introduces Fixed Tariff £154 Cheaper Than Current Price Cap

A number of energy companies are now offering fixed-rate tariffs that are below the new price cap set by Ofgem. Utility Warehouse (UW) has introduced a new fixed tariff that is priced £154 below the recently updated cap.

On October 1, the energy regulator Ofgem increased the energy price cap, which led to an average annual bill of £1,717 for typical dual-fuel households—an increase of 10%.

However, by opting for UW’s Fixed Saver 28 plan, which requires customers to bundle at least two additional services such as broadband or mobile, these households can lock in their annual energy costs at £1,563 until October 2025. This new plan allows customers to bypass the cap, offering a nine percent discount.

For those interested in energy plus just one other UW service, the provider offers a two-service Fixed 28 tariff, priced at £1,623 for up to 12 months, which is nearly £100 below the current price cap. These new fixed-rate plans are available to both new and existing customers.

Additionally, UW is providing support for customers facing difficulties with their energy bills. This includes flexible payment options, energy efficiency guidance, and access to financial support via a hardship fund, which is run in partnership with Citizens Advice Plymouth. Last year, UW allocated over £555,000 through this initiative.

Other energy providers are also launching competitive fixed-rate deals. OVO Energy, for instance, offers a one-year fixed loyalty tariff for existing customers that is 9.9% lower than the current cap.