You are here: Home - Household Bills - News -

Energy bill price hike for millions of vulnerable families

0
Written by:
07/08/2018
Five million vulnerable households will see their energy bills rise by £47 a year.

Energy regulator Ofgem is raising its safeguard tariff, which protects households from overpaying for their energy, from 1 October to £1,136.

It blamed the rise on higher wholesale gas and electricity costs.

Suppliers have to keep their prices below the level of the safeguard tariff, which was introduced in April 2017 for prepayment meter customers.

In February this year, Ofgem extended the safeguard tariff to protect one million more vulnerable customers who are on poor value standard variable tariffs and receive the government’s Warm Home Discount.

The regulator adjusts the level twice a year – in February and August.

Dermot Nolan, chief executive of Ofgem, said: “Around 5 million households, including some of the most vulnerable, remain better off and are no longer overcharged for their energy thanks to the safeguard tariff.

“Any price rise for customers is unfortunate. But while the level of the tariff will rise in October, these customers can be confident that this increase is justified and that their energy bill reflects the real cost of supplying gas and electricity. There are also better deals on the market for those who want to save even more money by switching.

“Ofgem is working to put in place price protection for 11 million more households on poor value deals so that everyone pays a fairer price for their energy.”

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.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

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.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

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...

Money Tips of the Week

Read previous post:
What are the FAANG stocks and should you buy them?

It's the latest investment acronym, but what are the FAANG companies and should investors jump on the bandwagon?

Close