Energy bills could hit £1,000 in 2008
Consumers could see the average household energy bill pass the £1,000 mark in 2008, Tim Wolfenden, head of home services at uSwtich.com, has predicted.
According to uSwitch, a comparison and switching service, there is mounting speculation that household energy prices will go back up again next year. Business energy broker, Catalyst, has already predicted a 10% – or £91 – increase in early 2008.
Wolfenden believes that, if this is followed by the rest of the industry, consumers could face average bills of more than £1,000. He warned that if one supplier pushes up their prices others will follow suit, so consumers should be prepared for the worst.
He said all eyes were on energy suppliers’ standard plans, the tariffs most households use. “British Gas has already put prices up on its market tracker plan, which tracks wholesale energy prices,” Wolfenden added. “The move is significant, but only in that it supports rumours of a general price increase.
“Households can limit the damage to their budgets by using energy more efficiently and making sure they are on the cheapest energy plan. Online plans are currently, on average, £143 cheaper than suppliers’ standard plans and are likely to remain better value even after prices go up.”