Octopus Energy CEO Greg Jackson today (14th September) launched the smart heating system Cosy Octopus* with the vow: “This paves the way to heat pumps for everyone.”
Jackson launched the heating system at the WIRED & Octopus Energy Tech Summit in London. It will be available from December.
It consists of the ‘Cosy 6’, Octopus’ new heat pump; ‘Cosy Hub’, a home controls system; ‘Cosy Pods’, room sensors; a bespoke smart tariff; and the award-winning Octopus 5-star service.
*‘Cosy Octopus’ is free for homes that don’t need any work to fit the system after the Boiler Upgrade Scheme (BUS). Homes that need adjustments – such as new radiators, piping or a hot water tank – will get the system from around £3,000 after the grant.
Average household energy bills to fall below £2000 since early 2022
The energy regulator has confirmed a cut to its price cap that will see average household bills come down this autumn, as experts continue to warn of hikes to come during the winter months.
Ofgem said the typical household paying by direct debit for gas and electricity faced an annual charge of £1,923 from October to December
The price a supplier can charge for gas is falling from 6.9p to 6.89p per kilowatt hour (kWh) - with the cost of electricity dropping from 30.1p per kWh to 27.35p.
If you were born before 25 September 1957 you could get between £250 and £600 to help you pay your heating bills. This is known as a ‘Winter Fuel Payment’.
The amount you get includes a ‘Pensioner Cost of Living Payment’. This is between £150 and £300. You’ll get this extra amount in winter 2023 to 2024. This is in addition to any other Cost of Living Payments you get with your benefit or tax credits.
Average price cap forecasts likely to fall from £2,074 currently to £1,871
Ofgem will likely announce a drop in the energy price cap next Friday, ahead of the change being implemented in October, meaning consumer bills will fall for the second time this year.
25/05/2023
Energy Price Cap Falls
The energy price cap on household bills has fallen to an annual average of £2,074 between July and September, removing some of the financial pain inflicted by the unprecedented surge in gas and electricity costs.
The new cap figure compares to the £3,280 level set by Ofgem for March-June.
*However, that cap is currently irrelevant.
That is because the government's energy price guarantee (EPG), which limits the amount suppliers can charge per unit of energy used, ran throughout the autumn and winter months and remains in force until 1 July.
That keeps bills at around an average annual level of £2,500.
There is no further taxpayer support on the table from July onwards.
The price cap, which is reviewed every three months, will take over again from then. A typical bill should be around £500 cheaper on a 12-month basis.
Energy bills for a typical household are expected to fall by nearly £450 from July, according to new forecasts.
Consultancy firm Cornwall Insight predicts bills could drop by as much as £446 under a new official price cap set to be announced by Ofgem on 25 May.
A typical user pays no more than £2,500 a year for their energy because of the Government's Energy Price Guarantee.
15/03/2023
Energy bill support extended for three months The government has today announced that its energy bill support scheme will be extended for three further months. The energy price guarantee - the amount an average household will spend in a year - is set to remain at £2,500 from April to June. It had been due to go up to £3,000. The Ofgem price cap between April and June is £3,280 - but this will now be overridden by the government's announcement. Ministers say their action is helping to "bridge consumers into the summer". A statement said: "Lower wholesale gas prices are expected to feed through to lower household energy bills from July, where Cornwall Insight data suggests the Ofgem price cap will reach an estimated £2,100 a year for a typical household." It is expected to save £160 per household.
Support for energy bills from the government is expected to continue for three months from April, protecting consumers from an average increase of £500.
Sky News understands the chancellor will cancel a reduction in support that would have seen typical annual bills rise from £2,500 to £3,000.
In recent days, the government has asked energy suppliers to prepare for both scenarios, fuelling a widespread expectation in the industry that existing support will be maintained when chancellor Jeremy Hunt delivers his budget on 15 March.
27/02/2023
The energy regulator has reduced the cap on the amount they can charge customers but bills are still expected to increase.
Ofgem has today announced the cap on the amount households pay on electricity and gas bills will drop to £3,280 from 1 April.
It's a decrease from the previous cap of £4,279 effective from the beginning January to the end of March and reflects the fall in wholesale energy prices.
The price cap sets a maximum amount suppliers can charge per unit of energy and is regularly reviewed by Ofgem.
The amount is not the maximum that can be charged - customers using a lot of energy will have higher bills - but instead reflects typical usage levels.
It comes after the Times found debt agents for British Gas had broken into vulnerable people's homes to fit meters.
24/01/23
Also the ESO scheme will now run on Tuesday 24th Jan between 4.30pm and 6pm on Tuesday.
23/01/23 A scheme that offers discounts on bills for households who cut peak-time electricity use will be triggered on Monday as the UK's cold snap continues.
National Grid said the scheme, which is part of its efforts to avoid blackouts and has only been used in tests so far, would run between 17:00 and 18:00 GMT.
It has also asked for three coal-fired generators to be warmed up.
National Grid said the measures were "precautionary" and it did not mean electricity supplies were at risk.
It said it expected electricity supply margins "to be tighter than normal" on Monday, but added that "people should not be worried".
"These are precautionary measures to maintain the buffer of spare capacity we need," it said.
The cold weather means demand for energy rises as more people heat their homes. Source
09/01/23
Businesses are set to secure £5.5bn more in government support to help them with their energy bills from the start of April, when the current scheme ends.
The new Energy Bill Discount Scheme will reduce rather than cap energy costs for businesses and will last until the end of March next year.
UK government confirms all households in Northern Ireland will receive a single payment totalling £600 to help with their energy bills, with payments starting in January
households across Great Britain that use alternative fuels like heating oil will receive a £200 payment this winter
900,000 households in England, Scotland and Wales without a direct relationship to an energy supplier – such as care home or park home residents – will be able to apply online for £400 of non-repayable help with their fuel bills
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Support with winter energy bills is on the way for millions more households across the United Kingdom, as the government today confirms details of a single £600 payment to help households in Northern Ireland with their heating and electricity bills, as well as details of how those using alternative fuels and households without a direct relationship to an energy supplier will receive help with their energy costs.
These schemes augment the cost-of-living package of assistance the government has in place to help reduce energy bills for households across the United Kingdom. This includes the Energy Price Guarantee which saves a typical household in Great Britain around £900 this winter and an equivalent level of support in Northern Ireland.
Energy bills support in England, Scotland and Wales via EBSS Alternative Funding and Alternative Fuel PaymentsAs well as this support for homes across Northern Ireland, the government has also announced details today for how people in England, Scotland and Wales without a direct relationship to a domestic energy supplier, including many care home residents and those living in park homes, will receive a £400 discount on their fuel bills through the Energy Bills Support Scheme Alternative Funding (EBSS Alternative Funding).
The government is also providing a further £200 Alternative Fuel Payment (AFP) to help those households in Great Britain who use alternative fuels such as biomass or heating oil to meet energy costs this winter. Most households eligible for the AFP support in Great Britain, will receive payment automatically via their electricity supplier in February, with no need to take any action. Those households who will need to apply for the AFP, for example because they do not have a relationship with an electricity supplier, will be able to do so in February, through the same GOV.UK portal as the one that will be used to apply for support under the EBSS Alternative Funding scheme.
Online applications will open in January for households in England, Scotland and Wales who are eligible for the £400 EBSS Alternative Funding to submit their details, alongside a helpline for those without online access. Payments to households that meet the eligibility criteria – including people who get their energy through a commercial contract or who are off-grid – will be made by local authorities in Great Britain. This is likely to include:
care home residents residents of park homes tenants in certain private and social rented homes homes supplied via private wires residents of caravans and houseboats on registered sites farmers living in domestic farmhouses off-grid households
The chancellor sought to “reassure” businesses feeling the pinch amid the cost of living crisis.
The government previously promised to pay a significant part of companies’ energy bills in September, but the support would become more targeted after six months.
It sparked concerns from many businesses about the end of the current support in April.
Britain’s largest energy supplier will become the latest to pay its customers to reduce the amount of electricity that they use during peak hours in order to help take pressure off the grid.
British Gas said that it hoped 100,000 customers would sign up as it launches the demand flexibility service for the households that it supplies.
The supplier becomes the latest – and the largest – to sign up to the scheme – which is run by National Grid.
The announcement comes after the head of Centrica, which owns British Gas, told ITV News there are new signs of customers struggling to pay their energy bills.
However, its ambitions for participation are lower than Octopus Energy, which has so far signed up more than 400,000 customers to its version of the scheme.
Customers with smart meters will be sent emails asking them if they want to take part, British Gas said.
24/11
Energy regulator Ofgem has today (Thursday 24 November 2022) announced its quarterly update to the energy price cap for the period 1 January – 31 March 2023.
The price cap is set to rise to an annual level of £4,279 in January 2023, but bill-payers remain protected under the government’s Energy Price Guarantee (EPG).
The ESO, together with electricity suppliers and aggregators, has launched a new Demand Flexibility Service (DFS) for this winter, which will incentivise consumers and businesses to reduce their power consumption at certain times.
If needed, this new service will help the ESO avoid using its emergency responses if electricity supplies are impacted.
To ensure that there is a benefit for consumers if supplies are unaffected this winter, the ESO will run a maximum of 12 demonstration tests with each electricity supplier and aggregator between November and March 2023.
These demonstration tests will have a guaranteed minimum price of £3KWh, meaning that a typical household could save approximately £100 across the maximum 12 demonstration tests.
Octopus has announced that it will acquire Bulb. This means that, subject to the deal receiving final approvals, and after a migration period, Bulb members will become part of Octopus. Read more on our blog:
Bulb members don’t need to take any action. Bulb will operate as usual until all customer accounts are transferred. There’s no change to your supply, and your credit balance is protected. If you pay for your energy by top-up, your top-ups are working as normal.
26/10/2022
A company that supplies electricity to more than 300,000 British households is seeking tens of millions of pounds of additional funding amid continued industry turmoil.
So Energy has appointed advisers from Interpath to raise more than £50m to fund itself through next year.
The search for new capital comes a year after the Irish energy group ESB took a controlling stake in the business.
Founded in 2015 by Simon Oscroft and Charlie Davies, former energy traders at the Australian bank Macquarie, So Energy is one of a large number of mid-sized utilities which have been squeezed by market turmoil over the past 18 months.
Households will now be paid £3 per kilowatt hour instead of 52p if they avoid high-power activities - such as cooking and using the washing machine - when demand is high during peak hours.
The value of energy discounts given to households that cut their peak time electricity used will be raised, the National Grid ESO has said, in a bid to turn homes into "individual power plants".
Households will now be paid £3 per kilowatt hour instead of 52p if they avoid high-power activities - such as cooking and using the washing machine - when demand is high during peak hours.
The scheme is aimed at easing pressure on the UK power grids this winter, amid a potential energy shortage.
Writing in The Guardian, Fintan Slye, the director of the National Grid's electricity system operation, said: "Businesses and homes can become virtual power plants and, crucially, get paid like one too.
"For a consumer that could mean a typical household could save approximately £100, and industrial and commercial businesses with larger energy usage could save multiples of this.
The objective is to design a new approach to save taxpayers money while targeting support to those most in need, he says. Business support will also go to those most affected and will incentivise energy efficiency.
Update 13/10/2022
Ofgem will launch a new campaign to help people understand how they can reduce their energy use and slash bills this winter, the regulator’s boss has revealed.
Jonathan Brearley said his organisation was working with energy companies to help them assist customers through what will prove to be a tough winter.
“Ofgem is working with the energy sector and interested groups to help consumers navigate this information and we will shortly be launching a campaign to explain the support available, how to reduce energy consumption, and what customers should expect from their providers.”
The information, which was revealed in a letter sent from Ofgem last week and first revealed by The Times, spoke of the possibility of "gas supply emergency" measures.
A gas supply emergency can be declared when suppliers are unable to safely get gas to homes and businesses.
It could mean that some customers, starting with the largest industrial consumers, will be asked to stop using gas for a temporary period.
The aim would be to keep supplies stable for households for as long as possible.
Update 21/09
Some suppliers have annouced how they will be paying but this could be different for each household. If you're unsure/not heard from your supplier it could be worth checking with them.
British Gas, EDF Energy, Ovo Energy and Scottish Power will credit the discount to customer bank accounts for those paying their bills by direct debit.
Bulb, E.ON and E.ON Next, Shell Energy, Octopus Energy, So Energy, Utilita and Utility Warehouse will not pay the discount into customer bank accounts.
British Gas
Those who pay by direct debit - which is the vast majority of British Gas' customers - will be expected to pay their bills as normal each month.
They will then receive the £400 discount as direct payments into their bank account, spread over a six month period.
Those with bills of less than the monthly refund will get the money refunded and the remaining amount added to their account.
The firm said: "If your direct debit is less than £67 a month, say £50 for example, £50 will be refunded to your bank account and the remaining £17 will be applied to your energy account."
EDF
Like British Gas, EDF has also confirmed that its 5.2million customers who pay by monthly direct debit will pay their bill as normal.
They will then receive the discount in cash directly into their bank account after a successful bill payment is made.
Non-direct debit payers will see the energy rebate automatically credited to their energy account in the first week of each month.
Those on smart prepayment meters will receive the discount automatically through a credit on their device.
Scottish Power
Scottish Power customers will be expected to pay their bills as normal and then receive the cash discount back as a payment into their bank account.
And customers will also be contacted by the firm between now and September 19 to find out how the new energy price cap affects them. Ovo Energy
Ovo Energy (and SSE) customers will see the £400 discount instalments credited to their bank account after a successful direct debit payment has gone through.
Those on smart prepayment meters will see the discount instalments credited to their electricity meter.
Customers on smart prepayment meters will receive the discount remotely through a credit on their device.
We've contacted Octopus Energy, Ovo and Scottish Power to ask how they'll ensure their customers will get the £400 energy bill discount.
Which energy firms are NOT paying the rebate directly into bank accounts?
Bulb
Bulb customers will receive the discount automatically and their direct debits will be adjusted accordingly.
Those on smart prepayment meters will have the amount credited to their electricity account.
E.ON and E.ON Next
E.ON has confirmed how its 3.8million customers will get their hands on the £400 energy bill discount.
Those who pay by direct debit that are on a fixed energy tariff will see the rebate amount deducted from their monthly payment amounts.
If a customer’s payments are less than £66/67, the firm will reduce payments to £0 and add the extra as an account credit.
Customers on the standard variable tariff that pay by direct debit will see the rebate added as a credit on to their account each month.
Any excess credit will be carried over to the following month.
Those on smart prepayment meters will also receive the payment as a split credit to their gas and electricity meters. Shell Energy
Shell Energy's 1million customers will see the six discounts deducted from their bills before their direct debit is taken.
Non-direct debit payers will see the discount appear on their bill as an extra payment, so they’ll also owe less than they normally would.
Smart prepayment meter customers will receive the monthly payment direct to their meters as a credit.
Octopus Energy
Octopus Energy customers will get an automatic monthly credit of £66 in October and November and then £67 between December and March.
The credit should automatically reduce customer monthly payments.
If a customer’s direct debit payment is less than £67, the firm will look to apply a payment holiday (reducing certain direct debits to £0) and credit their account with the remaining amount.
For smart prepayment customers, the discount will be added directly onto their meter as a credit.
So Energy
Fixed direct debit customers will get the monthly discount as credit on their So Energy account, typically in the first week of the month.
The firm will also include the discount when they review your monthly direct debit payments. This discount will then be used to set your monthly Direct Debit £66/£67 lower than it otherwise would be.
Those paying by variable direct debit or on receipt of bills will have the discount applied as a credit on to their So Energy account.
Smart prepayment meter customers will see the discount applied to their So Energy account, typically in the first week of the month. This credit will then reduce the amount customers will need to top-up.
Utilita
The six payments worth £66-67 will be automatically added as a credit to your account. That means the cash will reduce your overall bill.
Those on smart prepayment meters will be credited automatically.
Those on traditional prepayment meters will get the discount in voucher form.
Utility Warehouse
Like Shell Energy, Utility Warehouse customers on fixed energy tariffs and the standard variable tariff will see the discount come off their bill.
Customer direct debits will be adjusted before each monthly bill to reflect that the customer has received the discount.
Customers on smart prepayment meters will receive the discount remotely through a credit on their device.
Reminder : The government will give every household £400 off their electricity bill. This is called the Energy Bills Support Scheme.
You don’t need to do anything to get the money and you won’t have to pay it back.
You’ll get the £400 in 6 instalments starting from October 2022.
You’ll get:
£66 in October and November then £67 in December, January, February and March
You’ll get the discount monthly, even if you pay for your energy quarterly or use a payment card.
How you get the discount will depend on how you pay for energy.
If you pay by direct debit
Your supplier will either:
Reduce your direct debit amount Refund the money to your bank account each month
Contact your supplier if you can’t see the deduction on your bill or statement, or the refund in your bank account.
What if i have a pre-payment meter?
The payment will be added directly to your smart meter in the first week of each month.
If you have a traditional prepayment meter
You’ll get a voucher from your supplier by text message, email or post in the first week of each month. Your supplier will confirm how you’ll get the voucher nearer the time. You’ll only be able to use your voucher for your own energy account.
You’ll need to take the voucher to your usual top-up point to use it.
If you pay by standard credit or payment cardYour supplier will add the discount as a credit to your account in the first week of each month. The credit will appear on your account in the same way as if you had made a payment.
Update 08/09/2022
Households
'Typical Households' will pay no more than £2,500 per year for two years from 1 October. This will include the previously-announced £400 of help from the Johnson regime.
(*You may pay more than £2500 if households use more energy, it's just that unit rates are capped. So the figure is based on average consumption for a 3 bed house - Thanks to member jonwillis)
On a fixed Energy Tariff?
Those on fixes, can either stay on them, or can leave and switch to the new state subsidised tariffs with no exit penalties. (When to move to a fixed energy deal) - Please check this carefully!
Price guarantee agreed with energy retailers
Liz Truss says that the price guarantee superseeds the Ofgem price cap and has been agreed with energy retailers. It will be delivered by securing the wholesale price for energy.
Fund for those using heating oil, living in park homes or those on heat networks
The Government will set up a fund for those using heating oil, living in park homes or those on heat networks so that all UK consumers can benefit from “equivalent support”, Liz Truss said
Support for businesses struggling with bills for six months
Prime Minister Liz Truss promised support for businesses struggling with bills for six months, with targeted support for vulnerable firms beyond that.
Chancellor to set out emergency budget this month
Emergency legislation will be brought forward to deliver the new policy, Truss said, with the expected costs to be set out by the Chancellor in a fiscal statement later this month.
Expect an annoucement regarding support for energy bills, rumours are they'll be capped but will update ASAP.
More bad news
Update 26/08/2022
The typical household energy bill will hit £3,549 a year from 1 October, regulator Ofgem announces.
The cap is currently £1,971 for the average household and limits how much providers can charge customers in England, Scotland and Wales. The record 80% October increase, announced by the regulator Ofgem, will see a typical default tariff customer paying an extra £1,578,
Meanwhile, 4.5 million pre-payment meter customers will see an even greater increase, with their average annual bill set to go up to £3,608.
In all, around 24 million households will be hit by the price spike
Ofgem's price cap applies to households in Scotland, England and Wales - energy bills in Northern Ireland are regulated by a separate entity
Analysts have issued dire forecasts warning the amount could increase again from January, as Ofgem begins adjusting the price cap every three months instead of twice a year.
Ofgem has confirmed that the energy price cap will be updated quarterly, rather than every six months, also warning that households face a "very challenging winter".
£400 October energy discount guide includes payment dates for all account types
All households with a domestic electricity connection in Great Britain are eligible for the £400 discount.
Households will see a discount of £66 applied to their energy bills in October and November, rising to £67 each month from December through to March 2023
There is no need to contact energy suppliers concerning this.The £400 discount will be administered by suppliers and paid to consumers over 6 months with payments starting from October 2022, to ensure households receive financial support over the winter monthshouseholds will see a discount of £66 applied to their energy bills in October and November, rising to £67 each month from December through to March 2023
The discount will be provided on a monthly basis regardless of whether consumers pay monthly, quarterly or have an associated payment cardhouseholds will never be asked for their bank details, and those with a domestic electricity connection will not need to applythere is no need to contact your supplier as all domestic electricity customers will be automatically eligible.
Electricity bill payers should enquire with their supplier if they have not received their first instalment by the end of October.
Breakdown of the delivery process for each payment method:
Direct debit customers will receive the discount automatically as a reduction to the monthly direct debit amount collected, or as a refund to the customer’s bank account following direct debit collection during each month of delivery
standard credit customers and payment card customers will see the discount automatically applied as a credit to standard credit customers’ accounts in the first week of each month of delivery, with the credit appearing as it would if the customer had made a payment
smart prepayment meter customers will see the discount credited directly to their smart prepayment meters in the first week of each month of delivery
Traditional prepayment meter customers will be provided with redeemable vouchers or Special Action Messages (SAMs) from the first week of each month, issued via SMS text, email or post. Customers will need to take action to redeem these at their usual top-up pointI’m on a traditional prepayment meter.
Will I receive the discount?
Traditional prepayment meter customers will be provided with redeemable vouchers from the first week of each month, issued via SMS text, email or postcustomers will need to take action to redeem these at their usual top-up pointt
The energy price cap is now expected to double in January, hitting £3,850 per year, according to experts.
BFY Group, a utilities consultancy, said households could see energy bills of £500 for the month of January alone.
The cap is forecast to rise to £3,420 in October - a much higher sum than the £2,800 predicted in May by Ofgem, the energy regulator.
The boss of the UK's energy regulator has warned that the energy price cap is expected to rise to around £2,800 in October.
Jonathan Brearley told MPs that the price cap, now at £1,971, would increase by nearly £1,000, due to continued volatility in the gas market.
Cornwall Insight, another energy research specialist, had an even more stark prediction of £3,500 in October, with bills expected to stay above that level well into 2024
The energy regulator Ofgem sets the energy price cap in a bid to limit the price a supplier can charge you per unit of electricity and gas.
Info that may help:
What can you do if you can't pay?
Talk to your supplier as soon as possible. They may be able to offer you a full payment plan review, affordable debt repayment plans, payment breaks, payment reductions, more time to pay or access to hardship funds
Check out if you're eligible for a hardship fund. You will usually need to provide plenty of details and proof of your earnings
Check if you're eligible for extra help. For example, households on certain means-tested benefits will get £650 this year. Pensioners will also get a £600 winter fuel payment, and the Warm Home Discount is available to millions too See if you can join the Priority Services Register. This is a free support service operated by energy suppliers and network operators
The Cold Weather Payment scheme will give £25 to older people and those on certain benefits if temperatures hit zero degrees or below in their area for seven days in a row
Contact your council. The Household Support Fund gives councils access to a pool of £1bn to help those in need Try charities for energy and debt advice. These include Home Energy Scotland, National Energy Action, NI Energy Advice, Citzens Advice, StepChange, MoneyHelper and National Debt Line
Check if you can get free insulation or boiler grants under the Energy Company Obligation scheme
Many energy companies offer help for those struggling to pay their bills.
Grants to help pay off your energy debts
If you’re in debt to your energy supplier, you might be able to get a grant to help pay it off.
The following energy suppliers offer grants to their customers:
If you can’t get a grant from your supplier, you might be able to get a grant from the British Gas Energy Trust. These grants are available to anyone - you don’t have to be a British Gas customer. You’ll need to get debt advice before applying - get help from a debt adviser.
If you can't afford to top up your prepayment meter
You might be able to get a fuel voucher. This is a code given to you in a letter or in a text message or email. You can use it to add credit to your gas card or electricity key. If you don't have one of these, contact your supplier to get one.
Note most of these grants, have some kind of criteria so make sure you read through everything first.
For those that use heating oil
Where do i look for the best prices?
Boilerjuice for UK prices, cheapest oil for NI specifically
Hints/Tips:
Prices typically (hopefully) drop in summer as demand drops with better weather, so it’s always best to top up on a lower rate when you can to better avoid the winter hikes. Also oil boiler servicing is a must, as the sludge they build up can result in it being inefficient/using more oil to get up to temp.
Boilers take a bit of oil to get going, so maybe more sustainable to lower the boiler temp and run it for longer periods, bleeding radiators, turning off radiators in rooms you don’t use etc.
Tips on how to save energy / keep the costs down as much as possible:
Do full laundry loads, much more energy efficient
Use Eco settings where possible example dishwashers, boilers etc.
Try to avoid putting items, like TV's, into stand-by mode, switch off at the wall
Switch to LED bulbs
Full the Kettle to what you need, many still boil a whole kettle for just 1 or two cups
IF you can afford it, look to upgrade your boiler, newer versions are much more energy efficient
Take showers, instead of baths, and time them
Insulate your home, if possible.
Shutdown those consoles and computers, rather than leaving running
When colder, turn down the thermostat a degree or two.
Wash clothes at a lower temp (uses less energy)
If you can afford it, look to invest in double glazing
Sky News: Energy price cap: Average annual bill to rise by £94 from January, Ofgem announces
The energy price cap is to rise to an average annual £1,928 from January, the sector's regulator has announced.
29/09
Energy bills forecast to rise in January to £1,996
Annual energy bills for a typical household are expected to rise by £73 in January, a new forecast suggests.
Consultancy firm Cornwall Insight predicts bills could increase to £1,996 under the official price cap set by the UK's energy regulator Ofgem.
Full story
15/09/2023
Octopus launches 'free' heat pump package*
Octopus Energy CEO Greg Jackson today (14th September) launched the smart heating system Cosy Octopus* with the vow: “This paves the way to heat pumps for everyone.”
Jackson launched the heating system at the WIRED & Octopus Energy Tech Summit in London. It will be available from December.
It consists of the ‘Cosy 6’, Octopus’ new heat pump; ‘Cosy Hub’, a home controls system; ‘Cosy Pods’, room sensors; a bespoke smart tariff; and the award-winning Octopus 5-star service.
*‘Cosy Octopus’ is free for homes that don’t need any work to fit the system after the Boiler Upgrade Scheme (BUS). Homes that need adjustments – such as new radiators, piping or a hot water tank – will get the system from around £3,000 after the grant.
More info and source
25/08/2023
Average household energy bills to fall below £2000 since early 2022
The energy regulator has confirmed a cut to its price cap that will see average household bills come down this autumn, as experts continue to warn of hikes to come during the winter months.
Ofgem said the typical household paying by direct debit for gas and electricity faced an annual charge of £1,923 from October to December
The price a supplier can charge for gas is falling from 6.9p to 6.89p per kilowatt hour (kWh) - with the cost of electricity dropping from 30.1p per kWh to 27.35p.
More info and source
23/08/2023
If you were born before 25 September 1957 you could get between £250 and £600 to help you pay your heating bills. This is known as a ‘Winter Fuel Payment’.
The amount you get includes a ‘Pensioner Cost of Living Payment’. This is between £150 and £300. You’ll get this extra amount in winter 2023 to 2024. This is in addition to any other Cost of Living Payments you get with your benefit or tax credits.
See here
18/08/2023
Energy prices to fall for second time this year
Average price cap forecasts likely to fall from £2,074 currently to £1,871
Ofgem will likely announce a drop in the energy price cap next Friday, ahead of the change being implemented in October, meaning consumer bills will fall for the second time this year.
25/05/2023
Energy Price Cap Falls
The energy price cap on household bills has fallen to an annual average of £2,074 between July and September, removing some of the financial pain inflicted by the unprecedented surge in gas and electricity costs.
The new cap figure compares to the £3,280 level set by Ofgem for March-June.
*However, that cap is currently irrelevant.
That is because the government's energy price guarantee (EPG), which limits the amount suppliers can charge per unit of energy used, ran throughout the autumn and winter months and remains in force until 1 July.
That keeps bills at around an average annual level of £2,500.
There is no further taxpayer support on the table from July onwards.
The price cap, which is reviewed every three months, will take over again from then. A typical bill should be around £500 cheaper on a 12-month basis.
Source
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Energy Cap expected to drop this Thursday, 25th May
Energy bills for a typical household are expected to fall by nearly £450 from July, according to new forecasts.
Consultancy firm Cornwall Insight predicts bills could drop by as much as £446 under a new official price cap set to be announced by Ofgem on 25 May.
A typical user pays no more than £2,500 a year for their energy because of the Government's Energy Price Guarantee.
15/03/2023
Energy bill support extended for three months
The government has today announced that its energy bill support scheme will be extended for three further months.
The energy price guarantee - the amount an average household will spend in a year - is set to remain at £2,500 from April to June.
It had been due to go up to £3,000.
The Ofgem price cap between April and June is £3,280 - but this will now be overridden by the government's announcement.
Ministers say their action is helping to "bridge consumers into the summer".
A statement said: "Lower wholesale gas prices are expected to feed through to lower household energy bills from July, where Cornwall Insight data suggests the Ofgem price cap will reach an estimated £2,100 a year for a typical household."
It is expected to save £160 per household.
06/03/2023
Energy bill support to be extended
Support for energy bills from the government is expected to continue for three months from April, protecting consumers from an average increase of £500.
Sky News understands the chancellor will cancel a reduction in support that would have seen typical annual bills rise from £2,500 to £3,000.
In recent days, the government has asked energy suppliers to prepare for both scenarios, fuelling a widespread expectation in the industry that existing support will be maintained when chancellor Jeremy Hunt delivers his budget on 15 March.
27/02/2023
The energy regulator has reduced the cap on the amount they can charge customers but bills are still expected to increase.
Ofgem has today announced the cap on the amount households pay on electricity and gas bills will drop to £3,280 from 1 April.
It's a decrease from the previous cap of £4,279 effective from the beginning January to the end of March and reflects the fall in wholesale energy prices.
The price cap sets a maximum amount suppliers can charge per unit of energy and is regularly reviewed by Ofgem.
The amount is not the maximum that can be charged - customers using a lot of energy will have higher bills - but instead reflects typical usage levels.
More information
03/02/23
Energy companies have been asked by the energy regulator Ofgem to suspend the forced installation of prepayment meters.
It comes after the Times found debt agents for British Gas had broken into vulnerable people's homes to fit meters.
24/01/23
Also the ESO scheme will now run on Tuesday 24th Jan between 4.30pm and 6pm on Tuesday.
23/01/23
A scheme that offers discounts on bills for households who cut peak-time electricity use will be triggered on Monday as the UK's cold snap continues.
National Grid said the scheme, which is part of its efforts to avoid blackouts and has only been used in tests so far, would run between 17:00 and 18:00 GMT.
It has also asked for three coal-fired generators to be warmed up.
National Grid said the measures were "precautionary" and it did not mean electricity supplies were at risk.
It said it expected electricity supply margins "to be tighter than normal" on Monday, but added that "people should not be worried".
"These are precautionary measures to maintain the buffer of spare capacity we need," it said.
The cold weather means demand for energy rises as more people heat their homes.
Source
09/01/23
Businesses are set to secure £5.5bn more in government support to help them with their energy bills from the start of April, when the current scheme ends.
The new Energy Bill Discount Scheme will reduce rather than cap energy costs for businesses and will last until the end of March next year.
Full info hotukdeals.com/comments/permalink/49270523
19/12/22
Government confirms details of a single £600 payment to help households in Northern Ireland with energy bills and £200 payment for Great Britain households that use alternative fuels like heating oil.
UK government confirms all households in Northern Ireland will receive a single payment totalling £600 to help with their energy bills, with payments starting in January
households across Great Britain that use alternative fuels like heating oil will receive a £200 payment this winter
900,000 households in England, Scotland and Wales without a direct relationship to an energy supplier – such as care home or park home residents – will be able to apply online for £400 of non-repayable help with their fuel bills
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Support with winter energy bills is on the way for millions more households across the United Kingdom, as the government today confirms details of a single £600 payment to help households in Northern Ireland with their heating and electricity bills, as well as details of how those using alternative fuels and households without a direct relationship to an energy supplier will receive help with their energy costs.
These schemes augment the cost-of-living package of assistance the government has in place to help reduce energy bills for households across the United Kingdom. This includes the Energy Price Guarantee which saves a typical household in Great Britain around £900 this winter and an equivalent level of support in Northern Ireland.
Energy bills support in England, Scotland and Wales via EBSS Alternative Funding and Alternative Fuel PaymentsAs well as this support for homes across Northern Ireland, the government has also announced details today for how people in England, Scotland and Wales without a direct relationship to a domestic energy supplier, including many care home residents and those living in park homes, will receive a £400 discount on their fuel bills through the Energy Bills Support Scheme Alternative Funding (EBSS Alternative Funding).
The government is also providing a further £200 Alternative Fuel Payment (AFP) to help those households in Great Britain who use alternative fuels such as biomass or heating oil to meet energy costs this winter. Most households eligible for the AFP support in Great Britain, will receive payment automatically via their electricity supplier in February, with no need to take any action. Those households who will need to apply for the AFP, for example because they do not have a relationship with an electricity supplier, will be able to do so in February, through the same GOV.UK portal as the one that will be used to apply for support under the EBSS Alternative Funding scheme.
Online applications will open in January for households in England, Scotland and Wales who are eligible for the £400 EBSS Alternative Funding to submit their details, alongside a helpline for those without online access. Payments to households that meet the eligibility criteria – including people who get their energy through a commercial contract or who are off-grid – will be made by local authorities in Great Britain. This is likely to include:
care home residents
residents of park homes
tenants in certain private and social rented homes
homes supplied via private wires
residents of caravans and houseboats on registered sites
farmers living in domestic farmhouses
off-grid households
14/12/22
Energy Bill Support Scheme Will Be Extended In April, Says Jeremy Hunt (Details to be set out 'Very Shortly')
'I can reassure people that we will be continuing with support.' Chancellor Jeremy Hunt on whether the energy support scheme will be extended in April, via LBC
Jeremy Hunt has said the energy bill support scheme will be extended in April, with details to be set out “very shortly”.
The chancellor sought to “reassure” businesses feeling the pinch amid the cost of living crisis.
The government previously promised to pay a significant part of companies’ energy bills in September, but the support would become more targeted after six months.
It sparked concerns from many businesses about the end of the current support in April.
1/12/22
British Gas to pay customers to use less electricity
Britain’s largest energy supplier will become the latest to pay its customers to reduce the amount of electricity that they use during peak hours in order to help take pressure off the grid.
British Gas said that it hoped 100,000 customers would sign up as it launches the demand flexibility service for the households that it supplies.
The supplier becomes the latest – and the largest – to sign up to the scheme – which is run by National Grid.
The announcement comes after the head of Centrica, which owns British Gas, told ITV News there are new signs of customers struggling to pay their energy bills.
However, its ambitions for participation are lower than Octopus Energy, which has so far signed up more than 400,000 customers to its version of the scheme.
Customers with smart meters will be sent emails asking them if they want to take part, British Gas said.
24/11
Energy regulator Ofgem has today (Thursday 24 November 2022) announced its quarterly update to the energy price cap for the period 1 January – 31 March 2023.
The price cap is set to rise to an annual level of £4,279 in January 2023, but bill-payers remain protected under the government’s Energy Price Guarantee (EPG).
ofgem.gov.uk/publications/latest-energy-price-cap-announced-ofgem
04/11/2022
The Demand Flexibility Service is now live
The ESO, together with electricity suppliers and aggregators, has launched a new Demand Flexibility Service (DFS) for this winter, which will incentivise consumers and businesses to reduce their power consumption at certain times.
If needed, this new service will help the ESO avoid using its emergency responses if electricity supplies are impacted.
To ensure that there is a benefit for consumers if supplies are unaffected this winter, the ESO will run a maximum of 12 demonstration tests with each electricity supplier and aggregator between November and March 2023.
These demonstration tests will have a guaranteed minimum price of £3KWh, meaning that a typical household could save approximately £100 across the maximum 12 demonstration tests.
See the full information here
01/11/2022
EDF, OVO & Octopus announce energy saving sessions, you could get £100
Get credited for using less energy this winter with E.on Next.
Ovo Power Move - We’re launching Power Move – helping our customers reduce demand on the energy grid and save up to £100 each this winter
Octopus Saving Sessions - - 1 November to 31 March 2023. Get up to £100
Others TBA
29/10/2022
Octopus has announced that it will acquire Bulb. This means that, subject to the deal receiving final approvals, and after a migration period, Bulb members will become part of Octopus. Read more on our blog:
bulb.co.uk/blog/bulb-update-for-members
Bulb members don’t need to take any action. Bulb will operate as usual until all customer accounts are transferred. There’s no change to your supply, and your credit balance is protected. If you pay for your energy by top-up, your top-ups are working as normal.
26/10/2022
A company that supplies electricity to more than 300,000 British households is seeking tens of millions of pounds of additional funding amid continued industry turmoil.
So Energy has appointed advisers from Interpath to raise more than £50m to fund itself through next year.
The search for new capital comes a year after the Irish energy group ESB took a controlling stake in the business.
Founded in 2015 by Simon Oscroft and Charlie Davies, former energy traders at the Australian bank Macquarie, So Energy is one of a large number of mid-sized utilities which have been squeezed by market turmoil over the past 18 months.
Source
21/10/2022
Households will now be paid £3 per kilowatt hour instead of 52p if they avoid high-power activities - such as cooking and using the washing machine - when demand is high during peak hours.
The value of energy discounts given to households that cut their peak time electricity used will be raised, the National Grid ESO has said, in a bid to turn homes into "individual power plants".
Households will now be paid £3 per kilowatt hour instead of 52p if they avoid high-power activities - such as cooking and using the washing machine - when demand is high during peak hours.
The scheme is aimed at easing pressure on the UK power grids this winter, amid a potential energy shortage.
Writing in The Guardian, Fintan Slye, the director of the National Grid's electricity system operation, said: "Businesses and homes can become virtual power plants and, crucially, get paid like one too.
"For a consumer that could mean a typical household could save approximately £100, and industrial and commercial businesses with larger energy usage could save multiples of this.
Read more here
Update 17/10/2022
Jeremy Hunt says a Treasury-led review will take place into how people are helped with energy bills from April next year.
The objective is to design a new approach to save taxpayers money while targeting support to those most in need, he says. Business support will also go to those most affected and will incentivise energy efficiency.
Update 13/10/2022
Ofgem will launch a new campaign to help people understand how they can reduce their energy use and slash bills this winter, the regulator’s boss has revealed.
Jonathan Brearley said his organisation was working with energy companies to help them assist customers through what will prove to be a tough winter.
“Ofgem is working with the energy sector and interested groups to help consumers navigate this information and we will shortly be launching a campaign to explain the support available, how to reduce energy consumption, and what customers should expect from their providers.”
Update 07/10/2022
Households are being encouraged to sign up to the “Demand Flexibility Service” to help avoid blackouts this winter
Basically households are encouraged to use high energy use devices when there is less demand, example washing machines, later at night.
When is the 'Demand Flexibility Service' due to start?
The "Demand Flexibility Service" will run from November to March and households can sign up through their energy supplier.
Some have already opened, example Ovo. So check with your supplier.
IF it happens, make sure you're signed up, otherwise you won't be paid.
How will I know when I can use energy if I'm taking part in the scheme?
The newly launched service will work as an opt-in system - and you'd need a smart meter to take part.
Households would receive a text message asking them to only use electricity when there is less demand - typically after 7pm
What if i'm a vunerable customer?
Network operators will be tasked with ensuring those customers are protected.
How that would happen has not been fully spelt out. The same goes for care homes and other vital infrastructure.
If/when i do get these power cuts, and they last longer than 3 hours, will i get compensation?
NO news on that yet, but will update as/when
Update 03/10/22
The energy regulator has warned the UK is facing a "significant risk" of gas shortages this winter.
The information, which was revealed in a letter sent from Ofgem last week and first revealed by The Times, spoke of the possibility of "gas supply emergency" measures.
A gas supply emergency can be declared when suppliers are unable to safely get gas to homes and businesses.
It could mean that some customers, starting with the largest industrial consumers, will be asked to stop using gas for a temporary period.
The aim would be to keep supplies stable for households for as long as possible.
Update 21/09
Some suppliers have annouced how they will be paying but this could be different for each household. If you're unsure/not heard from your supplier it could be worth checking with them.
British Gas, EDF Energy, Ovo Energy and Scottish Power will credit the discount to customer bank accounts for those paying their bills by direct debit.
Bulb, E.ON and E.ON Next, Shell Energy, Octopus Energy, So Energy, Utilita and Utility Warehouse will not pay the discount into customer bank accounts.
British Gas
Those who pay by direct debit - which is the vast majority of British Gas' customers - will be expected to pay their bills as normal each month.
They will then receive the £400 discount as direct payments into their bank account, spread over a six month period.
Those with bills of less than the monthly refund will get the money refunded and the remaining amount added to their account.
The firm said: "If your direct debit is less than £67 a month, say £50 for example, £50 will be refunded to your bank account and the remaining £17 will be applied to your energy account."
EDF
Like British Gas, EDF has also confirmed that its 5.2million customers who pay by monthly direct debit will pay their bill as normal.
They will then receive the discount in cash directly into their bank account after a successful bill payment is made.
Non-direct debit payers will see the energy rebate automatically credited to their energy account in the first week of each month.
Those on smart prepayment meters will receive the discount automatically through a credit on their device.
Scottish Power
Scottish Power customers will be expected to pay their bills as normal and then receive the cash discount back as a payment into their bank account.
And customers will also be contacted by the firm between now and September 19 to find out how the new energy price cap affects them.
Ovo Energy
Ovo Energy (and SSE) customers will see the £400 discount instalments credited to their bank account after a successful direct debit payment has gone through.
Those on smart prepayment meters will see the discount instalments credited to their electricity meter.
Customers on smart prepayment meters will receive the discount remotely through a credit on their device.
We've contacted Octopus Energy, Ovo and Scottish Power to ask how they'll ensure their customers will get the £400 energy bill discount.
Which energy firms are NOT paying the rebate directly into bank accounts?
Bulb
Bulb customers will receive the discount automatically and their direct debits will be adjusted accordingly.
Those on smart prepayment meters will have the amount credited to their electricity account.
E.ON and E.ON Next
E.ON has confirmed how its 3.8million customers will get their hands on the £400 energy bill discount.
Those who pay by direct debit that are on a fixed energy tariff will see the rebate amount deducted from their monthly payment amounts.
If a customer’s payments are less than £66/67, the firm will reduce payments to £0 and add the extra as an account credit.
Customers on the standard variable tariff that pay by direct debit will see the rebate added as a credit on to their account each month.
Any excess credit will be carried over to the following month.
Those on smart prepayment meters will also receive the payment as a split credit to their gas and electricity meters.
Shell Energy
Shell Energy's 1million customers will see the six discounts deducted from their bills before their direct debit is taken.
Non-direct debit payers will see the discount appear on their bill as an extra payment, so they’ll also owe less than they normally would.
Smart prepayment meter customers will receive the monthly payment direct to their meters as a credit.
Octopus Energy
Octopus Energy customers will get an automatic monthly credit of £66 in October and November and then £67 between December and March.
The credit should automatically reduce customer monthly payments.
If a customer’s direct debit payment is less than £67, the firm will look to apply a payment holiday (reducing certain direct debits to £0) and credit their account with the remaining amount.
For smart prepayment customers, the discount will be added directly onto their meter as a credit.
So Energy
Fixed direct debit customers will get the monthly discount as credit on their So Energy account, typically in the first week of the month.
The firm will also include the discount when they review your monthly direct debit payments. This discount will then be used to set your monthly Direct Debit £66/£67 lower than it otherwise would be.
Those paying by variable direct debit or on receipt of bills will have the discount applied as a credit on to their So Energy account.
Smart prepayment meter customers will see the discount applied to their So Energy account, typically in the first week of the month. This credit will then reduce the amount customers will need to top-up.
Utilita
The six payments worth £66-67 will be automatically added as a credit to your account. That means the cash will reduce your overall bill.
Those on smart prepayment meters will be credited automatically.
Those on traditional prepayment meters will get the discount in voucher form.
Utility Warehouse
Like Shell Energy, Utility Warehouse customers on fixed energy tariffs and the standard variable tariff will see the discount come off their bill.
Customer direct debits will be adjusted before each monthly bill to reflect that the customer has received the discount.
Customers on smart prepayment meters will receive the discount remotely through a credit on their device.
Source
Update 15/09/2022
Reminder : The government will give every household £400 off their electricity bill. This is called the Energy Bills Support Scheme.
You don’t need to do anything to get the money and you won’t have to pay it back.
You’ll get the £400 in 6 instalments starting from October 2022.
You’ll get:
£66 in October and November then £67 in December, January, February and March
You’ll get the discount monthly, even if you pay for your energy quarterly or use a payment card.
How you get the discount will depend on how you pay for energy.
If you pay by direct debit
Your supplier will either:
Reduce your direct debit amount
Refund the money to your bank account each month
Contact your supplier if you can’t see the deduction on your bill or statement, or the refund in your bank account.
What if i have a pre-payment meter?
The payment will be added directly to your smart meter in the first week of each month.
If you have a traditional prepayment meter
You’ll get a voucher from your supplier by text message, email or post in the first week of each month. Your supplier will confirm how you’ll get the voucher nearer the time. You’ll only be able to use your voucher for your own energy account.
You’ll need to take the voucher to your usual top-up point to use it.
If you pay by standard credit or payment cardYour supplier will add the discount as a credit to your account in the first week of each month. The credit will appear on your account in the same way as if you had made a payment.
Update 08/09/2022
Households
'Typical Households' will pay no more than £2,500 per year for two years from 1 October. This will include the previously-announced £400 of help from the Johnson regime.
(*You may pay more than £2500 if households use more energy, it's just that unit rates are capped. So the figure is based on average consumption for a 3 bed house - Thanks to member jonwillis)
On a fixed Energy Tariff?
Those on fixes, can either stay on them, or can leave and switch to the new state subsidised tariffs with no exit penalties. (When to move to a fixed energy deal) - Please check this carefully!
Price guarantee agreed with energy retailers
Liz Truss says that the price guarantee superseeds the Ofgem price cap and has been agreed with energy retailers. It will be delivered by securing the wholesale price for energy.
Fund for those using heating oil, living in park homes or those on heat networks
The Government will set up a fund for those using heating oil, living in park homes or those on heat networks so that all UK consumers can benefit from “equivalent support”, Liz Truss said
Support for businesses struggling with bills for six months
Prime Minister Liz Truss promised support for businesses struggling with bills for six months, with targeted support for vulnerable firms beyond that.
Chancellor to set out emergency budget this month
Emergency legislation will be brought forward to deliver the new policy, Truss said, with the expected costs to be set out by the Chancellor in a fiscal statement later this month.
Source
Source
Update 08/09/2022
Expect an annoucement regarding support for energy bills, rumours are they'll be capped but will update ASAP.
More bad news
Update 26/08/2022
The typical household energy bill will hit £3,549 a year from 1 October, regulator Ofgem announces.
The cap is currently £1,971 for the average household and limits how much providers can charge customers in England, Scotland and Wales. The record 80% October increase, announced by the regulator Ofgem, will see a typical default tariff customer paying an extra £1,578,
Meanwhile, 4.5 million pre-payment meter customers will see an even greater increase, with their average annual bill set to go up to £3,608.
In all, around 24 million households will be hit by the price spike
Ofgem's price cap applies to households in Scotland, England and Wales - energy bills in Northern Ireland are regulated by a separate entity
Analysts have issued dire forecasts warning the amount could increase again from January, as Ofgem begins adjusting the price cap every three months instead of twice a year.
Source
Update 04/08/2022
Ofgem has confirmed that the energy price cap will be updated quarterly, rather than every six months, also warning that households face a "very challenging winter".
Source
Update 03/08/2022
£400 October energy discount guide includes payment dates for all account types
All households with a domestic electricity connection in Great Britain are eligible for the £400 discount.
Households will see a discount of £66 applied to their energy bills in October and November, rising to £67 each month from December through to March 2023
There is no need to contact energy suppliers concerning this.The £400 discount will be administered by suppliers and paid to consumers over 6 months with payments starting from October 2022, to ensure households receive financial support over the winter monthshouseholds will see a discount of £66 applied to their energy bills in October and November, rising to £67 each month from December through to March 2023
The discount will be provided on a monthly basis regardless of whether consumers pay monthly, quarterly or have an associated payment cardhouseholds will never be asked for their bank details, and those with a domestic electricity connection will not need to applythere is no need to contact your supplier as all domestic electricity customers will be automatically eligible.
Electricity bill payers should enquire with their supplier if they have not received their first instalment by the end of October.
Breakdown of the delivery process for each payment method:
Direct debit customers will receive the discount automatically as a reduction to the monthly direct debit amount collected, or as a refund to the customer’s bank account following direct debit collection during each month of delivery
standard credit customers and payment card customers will see the discount automatically applied as a credit to standard credit customers’ accounts in the first week of each month of delivery, with the credit appearing as it would if the customer had made a payment
smart prepayment meter customers will see the discount credited directly to their smart prepayment meters in the first week of each month of delivery
Traditional prepayment meter customers will be provided with redeemable vouchers or Special Action Messages (SAMs) from the first week of each month, issued via SMS text, email or post. Customers will need to take action to redeem these at their usual top-up pointI’m on a traditional prepayment meter.
Will I receive the discount?
Traditional prepayment meter customers will be provided with redeemable vouchers from the first week of each month, issued via SMS text, email or postcustomers will need to take action to redeem these at their usual top-up pointt
Full information here
Update 28/07/2022
The energy price cap is now expected to double in January, hitting £3,850 per year, according to experts.
BFY Group, a utilities consultancy, said households could see energy bills of £500 for the month of January alone.
The cap is forecast to rise to £3,420 in October - a much higher sum than the £2,800 predicted in May by Ofgem, the energy regulator.
The boss of the UK's energy regulator has warned that the energy price cap is expected to rise to around £2,800 in October.
Jonathan Brearley told MPs that the price cap, now at £1,971, would increase by nearly £1,000, due to continued volatility in the gas market.
Cornwall Insight, another energy research specialist, had an even more stark prediction of £3,500 in October, with bills expected to stay above that level well into 2024
Source
Source
What is the energy price cap?
The energy regulator Ofgem sets the energy price cap in a bid to limit the price a supplier can charge you per unit of electricity and gas.
Info that may help:
What can you do if you can't pay?
Talk to your supplier as soon as possible. They may be able to offer you a full payment plan review, affordable debt repayment plans, payment breaks, payment reductions, more time to pay or access to hardship funds
Check out if you're eligible for a hardship fund. You will usually need to provide plenty of details and proof of your earnings
Check if you're eligible for extra help. For example, households on certain means-tested benefits will get £650 this year. Pensioners will also get a £600 winter fuel payment, and the Warm Home Discount is available to millions too
See if you can join the Priority Services Register. This is a free support service operated by energy suppliers and network operators
The Cold Weather Payment scheme will give £25 to older people and those on certain benefits if temperatures hit zero degrees or below in their area for seven days in a row
Contact your council. The Household Support Fund gives councils access to a pool of £1bn to help those in need
Try charities for energy and debt advice. These include Home Energy Scotland, National Energy Action, NI Energy Advice, Citzens Advice, StepChange, MoneyHelper and National Debt Line
Check if you can get free insulation or boiler grants under the Energy Company Obligation scheme
Many energy companies offer help for those struggling to pay their bills.
Grants to help pay off your energy debts
If you’re in debt to your energy supplier, you might be able to get a grant to help pay it off.
The following energy suppliers offer grants to their customers:
If you can’t get a grant from your supplier, you might be able to get a grant from the British Gas Energy Trust. These grants are available to anyone - you don’t have to be a British Gas customer. You’ll need to get debt advice before applying - get help from a debt adviser.
Local energy grants
Check if you can get a local energy grant on the Simple Energy Advice website.
You might also be able to find grants or schemes run by your local council. Find your local council on GOV.UK.
If you can't afford to top up your prepayment meter
You might be able to get a fuel voucher. This is a code given to you in a letter or in a text message or email. You can use it to add credit to your gas card or electricity key. If you don't have one of these, contact your supplier to get one.
Your local council might be able to help you get a fuel voucher - find your local council on GOV.UK.
Note most of these grants, have some kind of criteria so make sure you read through everything first.
For those that use heating oil
Where do i look for the best prices?
Boilerjuice for UK prices, cheapest oil for NI specifically
Hints/Tips:
Prices typically (hopefully) drop in summer as demand drops with better weather, so it’s always best to top up on a lower rate when you can to better avoid the winter hikes. Also oil boiler servicing is a must, as the sludge they build up can result in it being inefficient/using more oil to get up to temp.
Boilers take a bit of oil to get going, so maybe more sustainable to lower the boiler temp and run it for longer periods, bleeding radiators, turning off radiators in rooms you don’t use etc.
Tips on how to save energy / keep the costs down as much as possible:
If you have any hints/tips, please let me know in the comments and i'll review/update.
Thank you
Threads that could help you further:
Tips to help you save on the heating bill and stay warmer
What can you do around the home to save energy?
Cost of Living - List of Energy Grants / Support available to help pay energy bills
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