Just when you thought your energy bills couldn't get any more cheerful, the UK's price cap is set to rise yet again in October, bringing the highest charges in three years. But fear not, dear consumers, for there is a silver lining: switching to a fixed tariff could save you up to £173 a year. That's right, you can stick it to the energy companies by... paying them a fixed amount instead.

Millions of households in Great Britain are bracing for a 4% increase in gas and electricity prices from 1 October, following a 13% jump in July. This delightful news means the 22 million homes on default tariffs will see their typical annual bill rise to £1,723, just in time for everyone to turn on the heating and watch their money evaporate into warm air.

But wait, there's more! Analysts at Cornwall Insight predict a further 9% rise in January, which would bump the typical bill to £1,872 a year. Because why not? The January figure won't be confirmed until November, but prepare your wallets now.

In a surprising twist, even the energy regulator Ofgem is channeling its inner Martin Lewis, singing the praises of fixed tariffs. "Savings are available by choosing a fixed tariff, which are available at £100 or more below the October price cap," it says. About 11 million homes (35% of the total) are already on fixed deals and will be blissfully unaffected by the latest hike. For the rest of you, it's time to shop around.

Price comparison sites are rubbing their hands with glee, offering a plethora of fixed deals that beat the new cap. The cheapest, from Fuse Energy, comes in at £1,550 a year for typical usage, which is £173 below the October cap and £113 below the current one. This deal comes in various guises, including the Fuse Energy August 2026 Fixed (14m) V1 (available via Uswitch and Confused.com) and an 18-month version (V10) on MoneySuperMarket.

Other suppliers like Co-op Energy, Octopus Energy, E.ON Next, and Ecotricity are also offering fixed deals with typical savings of over £100 a year compared to the October cap. Some are exclusive to certain comparison sites, but you can often go direct.

Before you dive in, Gareth Kloet at Go.Compare advises checking how long remains on your current contract and any exit fees. Because nothing says 'savings' like a penalty for leaving.

The October cap would have been even higher if not for a temporary VAT cut on domestic electricity, reducing it from 5% to zero between 1 October and 31 March 2027. This saves a typical household £45 a year and is automatically applied to accounts. Huzzah!

Ofgem also notes that many suppliers offer cheaper electricity to smart meter customers for off-peak usage, so it's worth asking about those. And if you're really struggling, the warm home discount scheme reopens in October, offering a one-off £150 discount off your electricity bill. But as Sarah Coles at investment platform AJ Bell reminds us, cutting energy use is still the best way to keep bills down. Who knew?