What's a variable tariff?

A variable tariff is a type of plan where the cost of energy may go up or down, depending on what happens in the wider market and potentially the costs your supplier faces. These costs may be influenced by the energy price cap, set by Ofgem, the energy industry regulator.

You'll always know what you're paying, and you're told at least 30 days in advance about any changes. A variable tariff could be a good option if you don't want to be tied into a long contract, as you can leave whenever you want without paying a fee.