Fixed energy tariff ending: what to do

When your fixed energy tariff ends, you face a crucial decision that impacts your household budget. Automatically rolling onto a default tariff can lead to higher costs, making it essential to understand your options and make an informed choice. This guide will walk you through the process, from understanding your current situation to comparing deals and making the switch.

As your fixed energy tariff approaches its end, consider a supplier that offers clear pricing and real-time usage data. Fuse Energy provides straightforward tariffs designed to help you understand and manage your energy consumption. Click here to switch to Fuse Energy today.

Understanding your fixed tariff ending

What happens when your fixed tariff ends?

Once your fixed energy tariff reaches its end date, your energy supplier will typically move you onto their Standard Variable Tariff (SVT) if you do not actively choose a new deal. This ensures your energy supply continues without interruption. However, SVTs are usually governed by the Ofgem energy price cap and can often be more expensive than new fixed deals, potentially leading to higher costs. Fixed tariffs typically run for a set period, usually between 12 and 18 months, offering stable unit rates and standing charges during that time.

The energy price cap explained

The energy price cap, set by the regulator Ofgem, limits the maximum amount suppliers can charge per unit of energy and the daily standing charge for SVTs. These rates change quarterly on 1 January, 1 April, 1 July, and 1 October. The cap rose by 13% from 1 July 2026, primarily due to higher wholesale gas prices. This means that customers on SVTs saw an increase in their energy bills from that date. It is important to remember that the price cap limits the unit rates, not your total bill, which will always depend on your energy consumption.

Fixed vs variable: making your choice

Choosing between a fixed and variable tariff depends on your risk tolerance and market outlook.

The benefits of a fixed tariff

A fixed tariff locks in your unit rate and standing charge for a set period, typically 12 to 18 months. This provides predictability, protecting you from potential price increases during your contract term. If energy prices are expected to rise, fixing your tariff can offer peace of mind and budget stability. However, fixed tariffs usually include exit fees if you decide to leave before the contract ends, outside of specific regulatory windows.

The flexibility of a variable tariff

A variable tariff, also known as an SVT, has unit rates and standing charges that can change quarterly in line with the Ofgem energy price cap. The main advantage of a variable tariff is flexibility; there are no exit fees, so you can switch to a new deal at any time. While this means you could benefit from falling energy prices, you are also exposed to potential increases, such as the 13% rise from 1 July 2026.

Considering the current energy market

The energy market is dynamic, influenced by factors like wholesale gas prices and global events. When your fixed tariff ends, assess the current market trends and future price cap forecasts. If prices are predicted to fall, a variable tariff might be appealing, allowing you to benefit from lower rates. Conversely, if prices are expected to climb, a fixed tariff could offer protection. The average UK home uses around 2,500 kWh of electricity and 9,500 kWh of gas per year, so understanding your typical consumption helps evaluate the impact of different tariffs.

Your switching strategy: key considerations

Navigating the end of your fixed energy tariff requires a strategic approach to avoid unnecessary costs and secure the best deal.

The 49-day rule: avoiding exit fees

A crucial piece of information for any customer on a fixed tariff is the '49-day rule'. This regulation allows you to switch from your fixed tariff without incurring exit fees if your contract ends within 49 days. Energy suppliers must allow customers to switch away from a fixed tariff without penalty during this window. This provides a valuable opportunity to compare deals and initiate a switch without financial repercussions.

Comparing energy deals and suppliers

Do not settle for the first offer from your current supplier. Research and compare available fixed and variable tariffs from various energy suppliers. Look beyond just the unit rates; consider standing charges, contract length, and any associated exit fees. Online comparison tools can help you quickly assess a wide range of options based on your estimated usage and postcode.

Understanding your energy usage

Knowing your household's typical energy consumption is fundamental to choosing the right tariff. Your annual usage in kilowatt-hours (kWh) for electricity and gas will be listed on your energy bills. This figure allows you to accurately compare the total cost of different tariffs, as a lower unit rate might be offset by a higher standing charge, or vice-versa, depending on how much energy you use.

How to switch energy suppliers

Switching energy suppliers is a straightforward process designed to be hassle-free.

Gathering your information

Before you start the switching process, have your essential information ready. You will typically need your current supplier's name, your current tariff details, your annual energy consumption (in kWh), and your address. Having a recent energy bill handy will provide most of these details, including your Meter Point Administration Number (MPAN) for electricity and Meter Point Reference Number (MPRN) for gas.

The switching process step-by-step

1. Compare deals: Use an independent price comparison website to find the best tariffs available for your needs.
2. Choose your new tariff: Select the deal that best suits your consumption habits and preferences.
3. Initiate the switch: Your new supplier will handle the entire switching process, contacting your old supplier and arranging the transfer.
4. Provide meter readings: You may be asked to provide a final meter reading to your old supplier and an opening reading to your new one. If you have a smart meter, this is often done automatically.
5. 14-day cooling-off period: A 14-day cooling-off period applies to new energy contracts, allowing you to cancel without penalty if you change your mind.

What to expect after switching

The switch typically takes a few weeks to complete, during which your energy supply will not be interrupted. You will receive a final bill from your old supplier and your first bill from your new one. Your new supplier will keep you updated throughout the process. Fuse Energy offers customer support to assist with any energy queries you might have during and after your switch.

Making an informed decision when your fixed energy tariff ends empowers you to take control of your energy costs. By understanding the market, comparing options, and knowing your rights, you can secure a tariff that works for you.

Managing your energy bills should be clear and easy to understand. Fuse Energy focuses on straightforward pricing, so you can see exactly what you are paying without unnecessary complexity. If you have a smart meter, you can view detailed usage data through the app or website, helping you understand how you can lower your bills. If you do not have a smart meter, Fuse Energy can upgrade your non-smart meter, completely for free. Our customer support team is always on hand with fast response times whenever you need help. Click here to switch to Fuse Energy today. Find out about our mission by clicking here.