Dual fuel means you get both your electricity and gas from the same energy supplier. It is a common arrangement in the UK that can simplify your household administration and potentially offer better value, though it is not always the cheapest option.
Please note: Fuse Energy does not offer dual fuel tariffs; customers must select electricity and gas tariffs separately. This article discusses general energy market options, and Fuse's specific offerings are for electricity and gas as individual supplies.
The term "dual fuel" can sometimes cause confusion, as it has two distinct meanings in the context of your home. It usually refers to a tariff that supplies both your gas and electricity from one supplier, but it can also describe an appliance that uses two fuels, such as a dual fuel cooker with a gas hob and an electric oven. This article is about the tariff.
What is a dual fuel tariff?
A dual fuel energy tariff provides both your gas and electricity from a single supplier, resulting in one combined bill and a single point of contact for all your energy needs. This streamlines your energy management, making it easier to track your usage and payments. Energy suppliers in Great Britain are regulated by Ofgem, the independent energy regulator.
How dual fuel tariffs work
When you opt for a dual fuel tariff, your chosen supplier manages both your gas and electricity accounts. This means you typically receive a single monthly bill covering both energy types and interact with just one customer service team for any queries or issues. The pricing structure usually includes a unit rate for each kWh of electricity and gas consumed, plus a daily standing charge for each fuel.
Many households consider dual fuel tariffs for several reasons, primarily centred around convenience and potential cost savings.
Simplified billing and administration
One of the most appealing aspects of a dual fuel tariff is the administrative ease it offers. Instead of managing separate accounts and bills for gas and electricity, you receive a single statement from one provider. This can simplify budgeting and reduce paperwork, making it easier to keep track of your household energy expenditure.
Potential discounts and savings
Energy suppliers often offer incentives for customers who choose to take both their gas and electricity from them. These can come in the form of a dual fuel discount, which might make the combined tariff cheaper than purchasing gas and electricity separately from different providers. However, these discounts vary, and it is essential to compare the overall cost.
Single point of contact
Having a single supplier means you only have one company to contact for all your energy-related questions, meter readings, or issues. This can save time and reduce frustration compared to dealing with multiple customer service departments.
While dual fuel offers convenience, it is not always the best option for every household. There are several potential downsides to consider.
Less flexibility in supplier choice
Committing to a single supplier for both gas and electricity can limit your flexibility. If a more competitive deal for one fuel type becomes available from a different provider, you might be unable to switch without incurring exit fees or losing your dual fuel discount.
Risk of missing better individual deals
Sometimes, the cheapest electricity tariff might be with one supplier, while the most competitive gas tariff is with another. By bundling both, you risk missing out on better individual deals that could ultimately lead to greater overall savings. Comparing your household's energy usage against various tariffs is crucial for finding the best value.
Impact on customer service for specific issues
While a single point of contact can be convenient, it can also mean that if you experience a problem with your supplier, it affects both your gas and electricity. This could leave you without a quick alternative if you are dissatisfied with the service for a specific issue.
Deciding between a dual fuel tariff and separate suppliers requires careful consideration of your priorities and energy consumption habits.
Comparing costs and tariffs
The most significant factor for many households is cost. Always compare the total annual cost of a dual fuel tariff against the combined cost of the cheapest separate gas and electricity tariffs available. Look beyond headline discounts and consider unit rates, standing charges, and any potential exit fees. Using an independent comparison website can help you assess the market accurately.
Assessing administrative convenience
If simplifying your household bills and having fewer companies to deal with is a high priority, a dual fuel tariff might be more appealing, even if the cost difference is minimal. Conversely, if you prefer to actively manage each energy supply to chase the absolute best price, separate suppliers offer that flexibility.
Considering future energy needs
Think about your long-term energy plans. If you anticipate installing solar panels or an electric vehicle charger, your electricity consumption patterns might change significantly. Some tariffs are better suited to specific energy technologies, and having separate suppliers could offer more adaptability for future upgrades.
Fuse Energy takes a distinct approach to household energy, focusing on individual supply management rather than bundled dual fuel tariffs.
Individual electricity and gas supplies
Fuse Energy does not offer dual fuel tariffs. Instead, customers select their electricity and gas tariffs separately. This model provides transparency, allowing you to see the exact pricing and usage for each energy type without any hidden bundles.
Transparency and control with Fuse
By offering individual supplies, Fuse aims to give customers greater control over their energy management. You can monitor your electricity and gas consumption independently through a digital-first experience, empowering you to make informed decisions about each, with competitive pricing for each individual supply.
Digital-first experience and support
Fuse Energy provides a modern, app-driven approach for managing individual energy supplies. This digital platform is complemented by 24/7 human customer support, ensuring that help is always available when you need it, whether for electricity or gas queries.
The choice between dual fuel and separate energy suppliers ultimately depends on your individual circumstances and preferences.
Key considerations for UK households
Consider how important administrative simplicity is to you versus the potential for finding the absolute cheapest deal by splitting your supplies. Evaluate your typical gas and electricity consumption and use this to compare different tariffs accurately. Think about your willingness to manage multiple accounts if you opt for separate suppliers.
Regularly review your energy options
The UK energy market is dynamic, with tariffs and deals changing frequently. Regardless of whether you choose dual fuel or separate suppliers, regularly reviewing your energy options is crucial. Compare available deals at least once a year to ensure you remain on the most competitive tariff for your usage and needs.
