First Utility is to cut the price of its gas by launching a new fixed tariff

The company said millions of customers will benefit from the 12th price cut since the start of last year, down £23 per year on its previous cheapest deal.

“70% of Big Six customers are on the most expensive products, the standard variable. These customers are being kept in the dark – the reality is that even with the recent price cuts, there is still an enormous gap between their prices and the cheapest ones on the market – with more than £300 to be saved by switching.”

Customers who move from a “Big Six” traffic save an average of £306 per year with the added benefit of locked prices in April 2017.

First Utility is not the first energy supplier to cut gas prices this month with Scottish Power reduced the standard tariff by 5.4% from March.

The energy market has been under investigation by the Competition and Markets Authority since last summer. An early report by the CMA last February found that the large companies were overcharging loyal customers who did not switch suppliers by up to £234 a year.