Should You Bundle Electricity & Gas? Pros, Cons, and What to Watch For

by Mother Huddle Staff
The Pros and Cons of Bundling Electricity and Gas

Should You Bundle Electricity & Gas? Pros, Cons, and What to Watch For

Bundling electricity and gas into one plan sounds simple. But is it actually the best move for your wallet? The truth is, energy bundling has its perks, but it also has pitfalls that many don’t consider until it’s too late. Let’s break down the key advantages, the not-so-obvious downsides, and the fine print you should look out for before signing anything.

What Does Bundling Actually Mean?

Bundling means buying electricity and gas from the same retailer under a single plan or agreement. Instead of getting two separate bills, you receive one combined invoice. While this setup offers convenience, it’s still important to compare gas rates and electricity separately to ensure you’re not sacrificing savings for simplicity.

The Pros of Bundling Your Energy Services

Bundling energy services has multiple advantages. Let’s explore some of them.

Easy Billing

One provider, one bill, one account to manage, and super-convenient. You’ll spend less time dealing with paperwork or logging into multiple portals. If you value convenience and hate admin, then this might be enough reason alone.

Bundling Discounts

Some retailers offer bundled discounts if you buy both electricity and gas from them. This could come as a percentage off your total usage charges or a once-off credit applied to your account. It might sound small, but over a year, it can add up.

Better Customer Support Experience

Having one provider can make it easier to resolve issues. You won’t be bounced between companies trying to figure out if the gas and electricity team is responsible for a problem.

Potential Loyalty Rewards

Certain energy companies reward bundled customers with extra perks. This could include extended payment plans, early access to promotions, or even tie-ins with loyalty programs.

The Cons You Might Overlook

While it seems great, bundling electricity and gas has its disadvantages as well.

Not Always the Cheapest Option

Bundling might be simpler, but it doesn’t always mean better value. Sometimes, the best electricity deal comes from one provider and the best gas deal from another. If you choose convenience, you might be overpaying without realising it.

Discounts Can Be Misleading

A bundled discount doesn’t automatically mean you’re saving money. For example, if both electricity and gas rates are slightly higher than average, the discount might just bring the cost back to market level, or even keep it above.

Limited Flexibility

Bundled plans often lock you into longer contracts. That means if rates drop or a better offer appears elsewhere, you may have to pay an exit fee to switch. You also lose the ability to shop around independently for electricity and gas.

Complicated Terms and Conditions

Bundled energy plans sometimes come with fine print that’s easy to miss. For example, you may only receive the bundled discount if you pay on time or use direct debit. If you slip up and don’t pay attention, the deal disappears.

What to Watch for Before Bundling

If you’re ready to go for the bundle package, make sure you do these.

Compare Separately First

Before you commit to a bundle, compare individual electricity and gas plans on their own. Use a reliable energy comparison tool and review unit rates, daily supply charges, and contract terms. Only then can you decide if bundling is actually worth it.

Read the Energy Fact Sheets

Every plan should come with an Energy Fact Sheet that outlines the key charges, fees, and discounts. This is where you’ll find out if the discount applies to usage charges only or your whole bill. It also lists the exit fees, contract length, and other key details.

Look for Hidden Costs

Watch for conditions tied to discounts and check if there are penalties for late payment. Is the discount fixed or will it expire after 12 months? Are there seasonal rate hikes? Don’t get swayed by upfront perks without reading the long-term fine print.

Review Customer Service Ratings

If you’re going to deal with just one provider, make sure they have a decent reputation. Look for customer reviews that mention billing accuracy, issue resolution, and general satisfaction.

Should You Consider Bundling?

Bundling is right for you if you fall into these categories:

  • Busy professionals who want fewer bills to track
  • Households with consistent energy usage that won’t fluctuate too much
  • People who value convenience more than chasing down every cent

Final Thoughts

Bundling electricity and gas isn’t a blanket solution. It can save time and offer perks, but only if the numbers make sense. Don’t fall for surface-level discounts or convenience-based marketing. Dig into the details. Run the comparisons. Know your usage habits.

In the end, the best energy plan is the one that matches your needs, not the one that looks easiest on paper.

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