Consumers to receive annual letter informing them of "best tariffs"
The UK's Big Six energy companies have agreed a move with the Government that will see them write to their customers to inform themÂ of the best available tariffs.
Consumers will receive at least one letter a year informing them of available tariffs, as well as advice on how to switch.
Recent statistics have shown that around 70 per cent of households pay more on their energy bills than they need to, purely because they're not on the best tariff - of which there are estimated to be 120 to choose from.
The agreement was unveiled by Deputy Prime Minister, Nick Clegg.
He stated: "These are the kinds of changes that help people save money, that get us thinking about the energy we use, that promote the kind of thrift that is good for pockets as well as the planet."
Although consumer groups have spoken highly of the decision, they have argued that more is needed to ensure that gas and electricity prices don't continue to rise.
Director of energy at Consumer Focus, Audrey Gallacher, told the Telegraph: "While any move to help energy customers to get the best deal is welcome, it has to be the right method to reach people and the benefit must outweigh the cost.
"This needs to be more than a one-off mail shot and part of a wider strategy to help people overcome the burden of having to navigate hundreds of complex tariffs to get a decent energy price. Unfortunately people don't trust energy firms and previous mail-outs have not always had the best take-up," she added.
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