- Published
Energy prices are rising to a three-year high at the start of October and forecasts suggest there will also be a hefty increase in costs in January.
asserted
forecasts → publish → January
Regulator Ofgem's price cap affects millions of people on variable or default tariffs, but those on a range of tariffs may use more energy - and so pay more - if it proves to be a cold winter.
uncertain
it → affect → more
So what can you do to keep a check on rising bills?
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you → do → bills
1. Consider switching to a fixed rate
The energy regulator, Ofgem, is advising people to consider fixing - so that the price you are charged per unit of gas or electricity does not change every three months, although the total bill will still vary depending on how much energy you use.
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you → consider → energy
The trouble is that it is very difficult to work out whether a fixed deal is a good deal at the moment.
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deal → work → moment
Should energy prices rise sharply, then those who have fixed already have the certainty of what they will pay for each unit of energy.
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they → rise → energy
However, if events in the Gulf region settle down, and a peace deal in the Iran war leads to lower international gas prices, then a longer-term fix might not seem such good value compared with the price cap.
uncertain
fix → settle → cap
So consumer group Which? also recommends keeping an eye on any exit fees when picking a fixed deal.
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? → recommend → deal
If variable prices fall below your fixed rate and you want to get out of it before the end of your agreement period, you may have to pay a hefty sum.
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you → fall → sum
Before you fix, consumer website Money Saving Expert advises you look at all the deals available, not just what your own supplier is offering.
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supplier → fix → what
Pay by direct debit
Ofgem says about five million people still pay their bill when it arrives every three months.
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it → pay → bill
For some that's because they do not want their supplier to estimate their usage in case they are overcharged.
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they → want → case
Taking regular meter readings, or having a smart meter, while paying by monthly direct debit solves that problem.
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Taking → take → problem
Moreover, paying by direct debit costs less per unit than by so-called standard credit.
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paying → pay → credit
You will usually - although not always - need to switch to direct debit if you want to take advantage of the fixed deals on offer.
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you → need → offer
Customers on prepayment schemes - usually people on low incomes struggling to pay bills - used to pay a higher rate than others, but now they pay slightly less than the capped direct debit variable rate.
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they → struggle → rate
There are also a range of pricing schemes offering cheaper off-peak electricity, for example if they are charging an electric car overnight.
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they → be → car
3. Check what financial support you can get
There are a range of ways people on low incomes can access support.
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people → check → support
This winter anyone on means-tested benefits will get £150 off their electricity bill.
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anyone → test → bill
Your supplier will apply the discount automatically unless you are in Scotland, where you will need to contact your energy company to ask for the help.
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you → apply → help
Some people will also be eligible for a Cold Weather Payment, external and most pensioners will receive the winter fuel payment, after political pressure forced the government to U-turn on its plan to restrict it to the poorest pensioners.
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pressure → receive → pensioners
Beyond that, most energy suppliers offer hardship grants for people struggling to pay their bills and the government's Fuel Direct Scheme, external can help you repay energy debt.
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you → offer → debt
You can get more advice from Ofgem, external, Citizens Advice, external, or your own energy supplier.
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You → get → Ofgem
Trade body Energy UK has a list of support schemes, external.
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UK → have → schemes
People on low incomes may also be eligible for grants to help with insulating their homes, and there are local schemes offering grants for solar panels, heat pumps and the like.
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People → help → panels
But if you are hunting round for grants, watch out for scams pretending to be official money-off schemes.
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you → hunt → scams
4. Take another look at your energy use
Once the temperature outside starts to fall again, it is important to stay warm, especially for the very young, old, and those with health conditions or reduced mobility.
But there are plenty of ways you can keep bills lower without letting the temperature in your home fall below the recommended 18C minimum.
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temperature → take → minimum
You may already have hung thicker curtains and blocked the draughts over the last couple of winters, but do not forget to switch off radiators in rooms you are not using and wrap up.
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you → hang → rooms
Money Saving Expert advises to "heat the human not the home".
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Expert → advise → human
Turning down the flow rate on a combi boiler can save you money as often the water is being heated higher than it needs to be.
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it → turn → money
Take shorter showers and wash clothes at 30C rather than 40C. Dry clothes outdoors if you can, rather than using a tumble dryer, or hang clothes indoors but ventilate well or use a dehumidifier to avoid damp.
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you → take → damp
If you are thinking about moving home, or undertaking renovations, it is worth thinking through how to reduce bills.
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it → think → bills
When it comes to white goods, look for energy-efficient appliances.
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it → come → appliances
The Aporia
