Consumers still find 
energy tariffs baffling

The Which? investigation found the number rose to nine in 10 when the tariffs were shown in the simpler style of a petrol forecourt display.

Most energy suppliers claim to have simplified their tariffs over the past year but the watchdog’s study found most consumers are still “baffled”.

It asked those surveyed to identify the cheapest deal for using 2,100kWh of electricity a year with payment by fixed monthly direct debit.

Only eight per cent identified the cheapest deal out of the six leading suppliers’ standard electricity tariffs, 60 per cent got the answer wrong and 32 per cent simply did not know.

They were then shown a hypothetical choice of simplified electricity tariffs and 89 per cent were able to choose the cheapest deal.

They could also find it four times faster than for the existing standard electricity tariffs.

According to regulator Ofgem, around three-quarters of energy customers remain on standard tariffs even though they are some of the most expensive on the market.

And the warnings come after two of the country’s biggest suppliers hiked prices, with British Gas adding an extra £80 on its typical annual dual fuel bill, with an average increase of six per cent affecting 8.5 million customers from November 16, and Npower unveiling an average rise of 8.8 per cent for gas and 9.1 per cent for electricity.

Which? executive director Richard Lloyd said: “Many consumers are struggling with ever-increasing energy bills and people tell us it is one of their biggest financial worries.

“With so few people able to identify the cheapest deal, it’s no surprise that the majority are paying over the odds for their gas and electricity.

“Energy prices should be presented in a clear, consistent and simple way so people can spot the cheapest tariff more easily.”