Npower becomes last of the Big Six to cut prices
Npower has lowered its annual bill for dual fuel customers by £50, making it the last of the big six energy companies to reduce its prices after the government's cut to green levies.
The £50 reduction comprises a £38 price decrease on 28 February and a £12 rebate in the autumn for dual fuel customers.
However not all of them will see the former price decrease, as those on a fixed tariff will only receive the rebate.
Npower is the last of the big six energy providers to announce a reduction in prices, following the government's cut in the green levies imposed on energy companies.
However, consumers are still worse off than they were before the winter price hikes to energy bills. After the new reductions are factored in, energy customers are still paying 4.3% or £53 on average more than they were last year, according to Uswitch.com.
Ann Robinson, Uswitch's director of consumer policy, says: "These cuts are welcome, but they simply skim the surface of the hikes that went before them. What is clear is that there is only so much the government has been able to do to help consumers – it's now time for consumers to help themselves."
Robinson explains there is £274 between the current cheapest and most expensive energy tariff, so it is important for consumers to shop around, and not forget smaller suppliers that can also offer good customer service and competitive prices.
Paul Massara, Npower's chief executive, called for the government to look at other factors causing rising energy bills: "The next natural step would be to review the impact of all policies that add to business and household energy bills."
Since the cuts to green levies, all of the big six have announced reductions in prices. SSE customers will see their annual bill fall by £38 from 24 March, Scottish Power will cut their prices by 3.3% from 31 January, and British Gas customers saw a 3.2% fall in prices from 1 January.
EDF and Eon factored in the cuts to their winter price rises, with EDF customers seeing their bills going up by an average 3.9% as of 3 January and Eon customers experiencing a rise in bills of 4.3% on 18 January.