From today, up to two million customers on E.on's standard variable tariff will see their energy bills rise by an average of £22/year, as the company changes the way it charges.

As announced last month, E.on isn't increasing the rate it charges for units of gas or electricity, but is instead scrapping a number of discounts it offered to customers.

If you're one of the two million on E.on's standard tariff you are able to leave penalty-free, and if you are on it, you're likely overpaying for your energy.

Do a full market comparison to find your best deal using our free Cheap Energy Club.

I'm an E.on customer - what has changed and what can I do?

The changes come into effect for existing customers on E.on's standard variable tariff today, although they've applied to all new customers getting a fixed tariff since last month. Existing customers on a fix won't see any change until their fix ends.

Here's what's changing:

  • The £20/yr discount offered to customers with both electricity and gas has been scrapped.
  • The £5/yr discount per fuel offered to customers who opt for paperless billing has been scrapped.
  • The standing charge for customers who pay quarterly by cash or cheque has been increased by £10/yr per fuel. It has risen from £115/yr to £125/yr for gas and £95/yr to £105/yr for electricity.

A dual-fuel customer on E.on's standard Energy Plan tariff who pays by monthly direct debit already paid an average £1,123/yr, based on typical use. Now, this has risen to £1,153/yr, while those paying by quarterly cash or cheque could end up paying an extra £50/yr.

Any customers on E.on's standard tariff are able to leave penalty-free with no exit fees to pay. If you are on it, you're likely overpaying for your energy, as the cheapest variable tariff on the market is £807/yr, and the cheapest fixed tariff is £810/yr - both based on typical use. Check now if you can save by switching, using our Cheap Energy Club.

What does E.on say?

After announcing the price rises last month, an E.on spokesperson said: "We believe this will make it simpler and easier for customers to understand our tariffs and compare them with other suppliers in the market, the majority of whom do not offer these discounts.

"The impact on our customers' bills will vary depending on payment method, bill choice and fuel selection. While some customers will pay no more as a result of this change, the average impact on standard variable tariff bills will be around £22 a year."