npower is the last of the six top energy providers to cut its prices.

npower has become the latest energy provider to reduce its prices, announcing an 8% reduction in the cost of electricity – bringing customers’ bills down an average £43.

Now all the top six energy providers – npower, E.ON, British Gas, EDF, Scottish Power and Scottish & Southern – have announced price cuts, with E.ON offering the highest cuts of 9% for electricity.

This will, however, be of little comfort to the 44% of the UK’s population who have been cutting back on essentials such as food in order to afford their winter energy bills, according to research from statutory campaigning organisation, Consumer Focus.

It stated that almost three in five people (59%) believe the cuts in energy prices will make little or no difference to their bills. Jonathan Stearn, Consumer Focus energy expert, said: “It is disgraceful that huge winter energy bills are causing such misery for so many of the most vulnerable families, pensioners and disabled people. Recent meagre energy price cuts will barely dent fuel poverty levels.”

Confused.com, the online price comparison site, believes that now is the time to shop around and switch to the supplier with the best deal – up to £252 could be saved by switching supplier. It said: “If, like most energy customers, you haven’t switched in a while, there’s a very good chance you can slash your energy bills by even more than the announced cuts.”

npower has stated that its monthly direct debit ‘dual fuel’ tariff is more than £30 cheaper than that of British Gas. Kevin Miles, npower retail’s CEO, said of the company’s price cuts: “Wholesale prices are still higher than in 2007 but we are determined to reduce prices for our electricity customers. This reduction follows our price cuts for gas pre-payment customers in December.

“Gas and electricity pre-payment customers no longer pay a premium over our standard tariffs. We will continue to keep our costs and prices under review to ensure that we remain competitive and give our customers value for money.”

npower’s price cuts will come into effect on 31 March 2009.