E.ON has become the latest of the 'Big Six' energy suppliers to announce a cut to its prices. It will reduce electricity prices by 6% from 27 February.
The energy supplier says this reduction will shave £31 on average off an annual bill.
Drops in wholesale prices have allowed the energy provider to make cuts, says E.ON chief executive Dr Tony Cocker. However, he warns that the long-term picture for energy prices is not positive for consumers.
"While we're pleased to pass on this recent slight fall in wholesale prices, most experts agree that global energy prices will continue their long-term rise," he says.
Of the Big Six, only ScottishPower is yet to announce a price cut.
Despite most suppliers announcing reductions to either their gas or electric prices, consumers continue to worry about their energy bills with 43% claiming they are concerned about meeting payments on their next bills, according to the Citizens Advice Bureau.
"After the average increases of 17.4% to gas and 10.08% to electricity felt by UK consumers in 2011, many will be hoping that there will be further price decreases on the way as millions of people will not benefit from this round of cuts," says Clare Francis, spokesperson for moneysupermarket.com.