How to find the Best Dual Fuel Energy Deals in 2021
Signing up to a dual fuel tariff can be a good way to save money and easily manage your energy bills. If you’re after the cheapest combined gas and electricity offer, it’s important to make sure you shop around to find the best deals. We explain what to look out for and how to get the best dual fuel energy deal.
What is a Dual Fuel tariff?
Dual fuel energy means that your gas and electricity are both supplied by the same company. On a dual fuel tariff, you receive a combined bill for both gas and electricity, meaning less paperwork to deal with. Energy suppliers will often offer discounts for customers signing up to dual fuel contracts, so in addition to being more convenient than paying two separate bills, it can also work out cheaper.
We’ve compared some of the cheapest dual fuel tariffs on the market further down the page, but firstly let’s take a look at some of the pros and cons of signing up for both gas and electricity with the same supplier.
What are the benefits of Dual Fuel energy?
Having just one supplier for both your gas and electricity might make things simpler. There are certainly a number of benefits.
- The convenience of having both gas and electricity combined as one bill to pay, rather than two.
- Less paperwork: with a dual fuel contract, you only have to contact one supplier when you have issues, which means one account and only one set of online login information to remember!
- Energy savings: suppliers will often offer discounts for switching both your gas and electricity with them.
Are there any disadvantages?
It’s always worth doing your research, as there can be downsides to choosing the same supplier for both your gas and electricity too, such as:
- If you choose to switch suppliers, you may be expected to pay exit fees for both fuel types.
- Price hikes can apply to both fuels, so if your supplier ups their prices you’ll be expected to pay more for both your gas and electricity.
- It can sometimes be cheaper to have separate suppliers for gas and electricity if you shop around. For this reason, you should always compare tariffs before switching, to see what suits you best.
What types of tariffs are there?
There are many different types of dual fuel tariff. Some stay the same price for the duration of your contract, some fluctuate depending on market prices and others can change depending on the time of day. Let's take a look at these in a bit more detail to see which suits your needs best.
On a fixed-rate tariff, your unit rate and standing charge cost are guaranteed for the full length of your contract - usually 12, 24 or 36 months. For most customers this would be the best choice to avoid unexpected price increases.
Something to keep in mind when switching supplier is that fixed tariffs often have exit fees of around £30 per fuel. However, it can still be worth paying this, as the savings could make up for it.
Variable tariffs are the opposite of fixed plans, as their rates can fluctuate with the wholesale market price of energy. What looks like a great deal today may not be tomorrow if the price increases.
Variable tariffs generally do not have exit fees, so customers are free to switch to a different tariff if they find a better deal, without being penalised.
Economy 7 and Economy 10 tariffs
These tariffs use special meters and have different rates for electrcity during peak and off-peak hours. In exchange for paying a higher price for electricity during the day, customers can get cheaper rates for either seven hours during the night with Economy 7 or ten hours split between night, afternoon and evening on an Economy 10 plan.
These tariffs are being phased out eventually, but may still prove useful for those that use electric storage heaters as their main source of heating during the winter.
Find the best dual fuel energy deals
To find the best dual fuel energy deal for your home, you’ll need to first have an estimate of your average energy consumption. Our handy consumption tool can give you a better idea of how much energy you use in order to compare your current rates against other tariffs.
Find out more about your energy usageVisit our home energy consumption guide to see how your gas and electricity use compares to the national average
As an example, let’s take a look at British Gas’ standard dual fuel tariff with the following terms:
- Electricity unit rate: 17.604p per kWh
- Electricity standing charge: 23.72p per day
- Gas unit rate: 3.610p per kWh
- Gas standing charge: 27.34p per day
- VAT: 5%
What are unit rates and standing charges?Both gas and electricity use is measured in kilowatt-hours (kWh), with the unit rate being the price you pay per kWh. Gas unit rates are usually significantly cheaper than electricity. A standing charge is a daily fee to cover energy supply costs, such as maintaining the national grid.
To work out the total cost, we’ll be basing our energy usage on a three-bedroom house in the south of England with an average annual consumption of 2,900kWh for electricity and 12,000kWh for gas. However, keep in mind that as energy prices can vary throughout the country, your own total costs may be different. Our final total also includes the standard 5% VAT applicable to energy costs.
|Electricity unit rate||£0.17604 x 2,900 = £510.52|
|Electricity standing charge||£0.2372 x 365 = £86.58|
|Gas unit rate||£0.0361 x 12,000 = £433.20|
|Gas standing charge||£0.257 x 365 = £93.805|
|Total energy used in this period||£1,124.10*|
|VAT of 5%||£56.20|
|Annual gas price||£1,180*|
*Final costs are rounded.
Coming to a whopping £1,180 per year - that’s just under £99 a month - customers on this tariff are paying far over the odds for their energy costs. In fact, most households are paying more for their energy than they should be. According to recent estimates from Ofgem, the average annual bill on a dual fuel tariff was £1,177.
Which is the cheapest dual fuel tariff?
Now we know what makes up your energy bill, let’s take a look at some of the cheapest dual fuel tariffs around at the moment.
Calculations are based on a medium-sized household in London with average consumption, which is 2,900 kWh of electricity and 12,000 kWh of gas. All of the following tariffs have a direct debit payment method.
|Supplier||Tariff||Monthly Cost||Annual Cost|
|Orbit Energy||Spring Vari-Save v2||£82.04||£984|
|Shell Energy||Energy May 2022 v3||£82.08||£985|
|Eon||Fix Online Exclusive v67||£82.23||£987|
|OVO Energy||Better Smart||£82.25||£987|
|British Gas Evolve||Energy Plus Home Protection v13||£82.27||£987|
|Pure Planet||100% Green 12m Fixed Mar21 v2||£82.91||£995|
|Zebra Power||Zebra Fixed Rate April 2022 v1 Paperless||£84.19||£1,010|
|Bristol Energy||BE Simply Green April22||£84.18||£1,010|
|Together Energy||Green Together Fixed April22||£84.59||£1,015|
|So Energy||So Cedar Essential - Green||£85.21||£1,023|
Last updated: April 2021[block:energy_tariffs_content1]
Is it difficult to switch to a dual fuel tariff?
It’s a lot easier to switch your energy tariff than you may think. Here at Selectra, our dedicated team of energy experts scour the energy market to find the cheapest dual fuel deals for your home. We do the hard work, so you can sit back and enjoy the savings roll in.
- Give us a call on 020 3936 0059 or request a free callback. We’ll need some basic information, including your postcode and some details from your latest gas and electricity bills, so be sure you have these to hand.
- We’ll find the best deal for your home and explain how it works. We can also offer advice on whether direct debit billing or prepayment would be a better choice for you.
- You’re all set! We’ll set up a switching date with your new supplier and let your current supplier know you’re leaving them.
How long does it take?
Switching your energy supplier should take no longer than 21 days. This includes a 14-day cooling-off period, in which you are free to cancel the switch, should you change your mind.
Do I need to install anything?
Although switching energy provider, you will still use the same pipes and equipment. An engineer may drop by if you’re switching from a prepayment meter to direct debit or vice versa, though the cost of any works will usually be covered by your new supplier.
Can I switch to a renewable dual fuel tariff?
These providers aim to source and supply green electricity and in some cases also renewable or carbon offset gas:
Not all suppliers yet offer a green option, so make sure to mention it’s something you’re interested in when speaking to one of our energy experts.
Concerned about your carbon footprint?We've teamed up with EcoAct to offer carbon offsetting to every customer who switches their dual fuel tariff with Selectra. To learn more and offset your own energy usage, visit The Gandhi Project.