One by one, the UK's 'big six' energy providers have announced price cuts this year.
- E.ON cut gas prices by 3.5% from 13 Jan
- EDF cut gas prices by 1.3% from 11 Feb
- nPower cut gas prices by 5.1% effective 16 Feb
- ScottishPower cut gas prices by 4.8% as of 20 Feb
- British Gas cut gas prices by 5% effective 27 Feb
- SSE cut gas prices by 4.1% effective 30 April
So these price cuts are good news for cash-strapped consumers, right? Wrong.
These price cuts affect standard tariffs. Standard tariffs are variable, which means energy suppliers can raise or lower prices as long as they give customers advance notice.
Yet, opt for the cheapest fixed tariffs - which set prices for a period of time to protect against future rises - and you could save up to £250 off your annual energy bill, according to energy regulator Ofgem.
'Customers could be better off by £250'
Ofgem's chief executive Dermot Nolan said: "While recent price cuts are a step in the right direction, many customers could be better off to the tune of up to £250 by moving from a variable rate to a fixed rate deal.
"We are seeing companies compete for consumers interested in taking a fixed price deal.
"However, we are not seeing rigorous competition between suppliers that benefits all consumers.
"Around 60 per cent of customers are on variable tariffs, and the lack of competitive pressure on prices for these customers is another reason why the Competition and Markets Authority is investigating this market.
He added: "In the meantime, I would like as many consumers as possible to look for a better deal as it's never been easier to shop around for their energy."
'Political football'
But one industry expert says the reason households are paying too much for their utility bills is due to politicians using the energy industry as a "political football".
This is the view of Michael Ward, managing director of price comparison site PayingTooMuch.com.
He says: "Labour's cry for an energy price freeze, should it win the General Election, has been followed by calls for price cuts to be forced upon energy suppliers following the recent collapse in oil prices.
"Unfortunately the reason suppliers haven't been able to reduce their prices more quickly is partly because of the previous, ill-conceived government policy.
Higher energy bills
"This policy means UK energy suppliers buy supplies 12-18 months in advance to reduce their customers' exposure to the underlying price volatility of these commodities.
"But you can't have it both ways - if the price is fixed in advance it can't then be lowered because the price has fallen unexpectedly!
"It's likely that Labour's proposed price freeze has encouraged the UK's big six energy suppliers to buy more advance supplies than normal to reduce the risk of a price freeze following a Labour electoral victory. Thus ensuring their profit margin.
"So the proposed utility bill price freeze has now led to consumers paying more for their energy than they otherwise would have as this defensive advance buying by energy suppliers is already in place, preventing large-scale falls in prices."
Shop around
The "Be An Energy Shopper campaign" was launched by Ofgem in response to consumer demand for impartial advice on how to compare tariffs in the gas and electricity markets
Payingtoomuch.com's energy comparison service is run by UK Power, which is accredited by Ofgem's Confidence Code to compare energy for domestic customers.
Personal finance specialist David Black added: "Energy is like any financial product in that it's always worth looking around to see if you can save money."
