Will energy price cuts really make a difference?

Npower has become the latest energy giant to slash its gas prices by 5% from 1 February, and announced it will waive cancellation fees on fixed-priced deals for the next two months so customers can switch tariffs and take advantage of any new price deals.

Since Wednesday, when EDF threw the switch on the price cutting bonanza by dropping its gas bills by 5% in February, the major suppliers have been falling over themselves to win the hearts of the cash-strapped consumer.