EDF Energy, one of the UK’s key energy suppliers, announced it is to cut gas prices by five per cent following a decline in wholesale prices.
In the 2011 BikeBiz Retail Survey (supported by Cycling Sports Group UK), IBDs revealed that seeking more competitive utilities was amongst the most popular areas to save money.
Forty-four percent of respondents said they had sought more competitive utility bills in response to the questions ‘If you’ve had to make any cutbacks this year, where have these been made’. Utility bills was the second most popular answer, following stock levels (70 per cent).
EDF’s five per cent cut, which comes into effect on February 7th, comes after a 19 per cent rate hike last year, points out the Daily Telegraph. However, the cut is expected by analysts to spark a price war between EDF and the rest of the ‘Big Six’ energy suppliers.
Mark Todd of Energyhelpline.com said: "There is little doubt that the EDF move will now trigger a spree of price cuts by other ‘Big Six’ providers. It will be interesting to see how far they now go and British Gas certainly seem to have more room for manoeuvre because their prices have been higher than EDF.
"We challenge other providers to follow suit and announce a price cut of 10pc or more quickly."