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Dual Fuel Tariffs: Could Bundling Gas and Electricity Help UK Households Save?

Dual Fuel Tariffs: Could Bundling Gas and Electricity Help UK Households Save?
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UK households continue to face higher energy bills even as wholesale costs have eased slightly. Ofgem’s announcement of a 2% rise in the energy price cap this October means the average dual fuel bill will increase to £1,755 a year. That remains around £600 more than before the energy crisis began, keeping pressure on family budgets.

Why households are considering dual fuel

One option that has gained renewed attention is the use of dual fuel tariffs. These tariffs allow families to take both gas and electricity from the same supplier, often with the benefit of simpler billing and, in some cases, discounts. For households already stretched by high costs, combining services under one plan can provide welcome clarity and convenience.

However, while dual fuel tariffs can sometimes save money, they are not always the cheapest option. That is why consumer groups stress the importance of comparing the wider market regularly to check if better value can be found elsewhere.

Energy prices remain unpredictable

Despite recent stability, UK households are still paying significantly more for each unit of gas and electricity than before the crisis. Price volatility continues to be influenced by global gas supplies, geopolitical pressures, and rising standing charges. This uncertainty makes it vital for families to keep track of changing energy prices and to review their tariffs whenever the price cap is adjusted.

Regularly switching or renegotiating a tariff can help reduce bills, particularly for those who have slipped onto a supplier’s default or standard plan. In many cases, reviewing options every few months now makes more sense than waiting for years as families might have done in the past.

Balancing cost with stability

Dual fuel tariffs are appealing because they provide stability and simplicity. Having a single bill can help families budget more effectively and reduce the risk of missed payments. For those who prioritise predictability, a bundled plan can be useful, even if it is not always the absolute lowest-cost option.

At the same time, households seeking the very lowest rates should continue to explore the full range of suppliers and tariffs. Online platforms make this easier than ever, giving consumers a clear overview of their choices within minutes.

Expert comment

According to Shay Ramani, CEO of Free Price Compare, UK households should weigh the benefits of dual fuel tariffs against the alternatives.

“Families are often tempted by the simplicity of a dual fuel plan, but the key is to compare regularly. Sometimes a bundled deal works best, but in other cases splitting your gas and electricity across different suppliers might offer better value. The important thing is that households engage with the market and make choices that reflect their usage and priorities,” he said.

Looking ahead

With bills still far higher than before the crisis and Ofgem’s price cap changes now coming every three months, households cannot afford to remain passive. For many, dual fuel tariffs will offer a practical way to manage costs and improve budgeting. For others, regularly switching suppliers or choosing flexible tariffs may be more effective.

By staying alert to changing energy prices and considering options like dual fuel tariffs families can take proactive steps to strengthen their financial resilience.

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