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Igloo Energy customers to face 10.9% price hike

Igloo Energy customers to face 10.9% price hike

Small energy supplier Igloo Energy will be increasing prices in October, with costs set to increase by 10.9% for a typical dual-fuel home.

From Thursday 15 October for a typical dual-fuel household, its new tariff will cost £891/year on average, up from £805/yr before the hike.

The company only has one tariff – its Igloo Pioneer tariff – and it's variable, so all customers will be affected by the rise in October regardless of how recently they switched to Igloo.

To see how much you could save by switching your energy provider, do a full market comparison via our free Cheap Energy Club.

I am an Igloo Energy customer – what should I do?

All Igloo Energy customers are on its Pioneer tariff, so all will be impacted by the price increase. All variable tariffs, as the name suggests, are subject to price changes, though energy providers must give customers at least 30 days' notice.

If you're with Igloo Energy, it's worth using our free Cheap Energy Club to check it's still right for you. The cheapest deal on the market right now is with Outfox the Market and it's £788/yr on average use, so significantly cheaper than Igloo's £891/yr.

However, Outfox the Market's customer service record has been poor in the past, so think carefully before switching to it. If you want an energy supplier with good service, Cheap Energy Club will let you filter suppliers by service, so you could opt to only see suppliers scoring more than three out of five for service, for example.

What does Igloo Energy say?

In a blog on its website, Igloo Energy says: "Back in April we took the opportunity to lower our prices, with the average Igloo customer saving over £175 a year. Since then we have seen both network and wholesale costs increase dramatically following the impact of Covid-19 and lockdown. 

"Energy wholesale markets have increased more than 30% since April. The costs associated with keeping your home connected to the grid, transporting energy to your home and the upkeep of that network has also gone up.

"We've absorbed these increased costs for as long as possible, but we now need to raise our prices."