You are here: Home - Household Bills - News -

Rising energy suppliers’ costs could leave Brits facing higher bills

Written by:
Households are predicted to face an increase in the energy prices, as inflation ramps up supplier costs which is likely to be passed on to the consumer.

The Bank of England’s monthly inflation report highlights that despite a fall in gas prices, continuing rises in other costs to the supplier will mean that households will end up paying more for their domestic energy use, according to uSwitch.

Lucy Darch, energy expert at, said: “This is very worrying news for consumers, and could set alarm bells ringing. In the last six years, household energy bills have rocketed by £599 or 91% – from £660 a year in 2006 to £1259.

“With winter approaching, any further price hikes would put more pressure on many households, especially the third already finding their current energy bill unaffordable.”

uSwitch have pointed out that although there is no guarantee of prices increasing, consumers should stay alert and ensure that they are up-to-date with what are their options.

Darch advised: “Consumers should ensure they are paying as little as possible for your energy and also look at using less by being more energy efficient.

“With free insulation still available and more than £300 between the cheapest and most expensive plans on the market, consumers have a great chance of cutting their bills.

“And with the cheapest plan being a fixed plan (First Utility iSave Fixed V3 – fixed till end of next year) they can also protect themselves against any future increases, without the premium that would normally be associated.”

This comes at a time when the big 6 energy providers come under pressure to reduce their prices at a time when households are struggling to make ends meet with increasing prices.

The annual report on fuel poverty by the Department of Energy and Climate Change, has predicted that there will be nearly 4m households in England alone that will be in fuel poverty.

This was estimated in 2010, when prices were cheaper than they are in the current year.

A household is said to be fuel poor if it needs to spend more than 10% of its income on fuel to maintain an adequate level of warmth.

Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Govt management of banking industry ‘getting worse’

Over half of consumers think that the government’s handling of the banking industry has got worse over the last five...