Ofgem’s price cap drop will see the average household energy bill reduced by £426.
A reduction in wholesale prices could help stave off suppliers looking to “grasp your money”.
GB News political reporter Katherine Forster has offered one simple tip that ensures households will be able to reap the financial benefits of the ploy.
“Submit a meter reading today if you haven’t already done it”, Forster told Martin Daubney.
“The average family will save around £400 over the next year. These new prices came in at midnight last night.
“If you submit your meter readings, you’re guaranteed to get the Lowe prices going forward.
“If you don’t, your energy company will estimate what you’ve used which could make you worse off in the long run.
“It only takes two minutes. Gas, electric, get your readings in and benefit.
Energy bills are finally dropping but households need to take an urgent meter reading | PA“It’s very rare we talk about prices going down, it seems to only be the other way at the moment. Of course they are still nearly double what they were a couple of years ago, but £400 is progress.”
The average price for each unit of electricity uses has been slashed to 30p per unit, while gas prices are set to drop to 8p per unit.
The new average price that Ofgem says a household can be charged will fall from £3,180 to £2,074.
On Friday, Ofgem said: “This remains one of the most difficult and volatile periods in history for energy consumers.
“As energy regulator, we have taken a range of steps to stabilise the market and protect vulnerable consumers.
“We will also continue to support energy customers by passing savings from drops in wholesale prices onto customers more quickly through the quarterly price cap.
“Anyone struggling to pay their bills should reach out to their supplier as soon as possible.”
The headline price cap figure is an average across households rather than an absolute cap on bills, so those that use more will pay more.