suggests that suppliers could currently be offering fixed deals costing between £2,200 and £2,500 a year for the average household.
Martin Young, energy analyst at Investec, said: “Ovo’s deal is for existing customers only. Whilst it is below the energy price guarantee, it is above our cap estimates which point to a level of £2,000 in July. Investec’s July cap estimate now sits at £1,981 and its October estimate is £1,966 – the lowest estimate it has published so far for these.
“Over the duration of a fixed deal, the price of the standard variable tariff could increase or decrease depending on a number of factors.”
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