Energy Price Cap Set to Rise – Top Tips to Keep Your Bills in Check

And with Ofgem increasing the energy price cap by £149, meaning the average annual bill will hit £1,717 from October 2024, families across the UK are preparing for rising bills. That’s an additional £12 a month for the average household. While that might not sound like a lot at first, in many places it adds up quickly — especially as we get closer to colder months.

But don’t panic — there are simple, sensible ways to reduce your energy spending and shield yourself from future price increases. If you want to keep being smart with your energy usage, let Energy Wizards help. This is how to get ahead of the price hike.

Negotiate Prices and Change Suppliers

Switching energy providers is one of the simplest ways to save money. According to Jonathan Brearley, Ofgem’s chief executive, you may get a better deal by shopping around.

Sites such as Money Saving Expert’s Cheap Energy Club allow you to compare tariffs quickly and easily. Simply put in your postcode, current provider and how much you use to find out where you could be saving. Take a few minutes to check if you can save a lot on your bills by simply switching suppliers, and you will be amazed how much you save.

Lock In a Fixed-Rate Tariff

Locking into your tariff now could save you later. A fixed-rate energy deal guarantees the price you will pay per unit of energy and protects you from any further increases for the length of the deal.

Some fixed deals are currently about 7% cheaper than the new cap, according to Martin Lewis of Money Saving Expert. Just be sure to find out if there are any early exit penalties and consider how long the rate is fixed before going in.

Reduce Everyday Energy Use

Reducing energy consumption is one of the best things you can do to reduce your bills.

Even things like shutting lights off when not in use, switching to LED bulbs, using energy-efficient appliances, or lowering your thermostat just a single degree can add up. These may seem like minor adjustments, but over time they can result in significant savings.

Another huge step we took was to install a smart meter. And, it provides real-time feedback on your energy use, allowing you to see specific areas you could focus on to improve your power usage.

Find Out If You Are Eligible for Government Assistance

There are several government schemes aimed at helping households with energy costs. One important scheme is ECO4, which offers free or reduced-cost home improvements such as better paid for insulation and updated heating.

If you are getting pension credit you are also likely to qualify for winter fuel payments, although these are means-tested now. Don’t lose out — these kinds of support could shave hundreds of pounds off your bills over the year.

Consider Recommended Tariffs

Certain suppliers have special tariffs which may be cheaper than standard deals. Currently, comparison sites recommend options such as E.On Next Pledge v5 and EDF Ensure.

If you’re a bit more laid-back, variable-rate plans such as Octopus Agile may be worth looking at. These enable you to take advantage of lower rates during off-peak hours, though prices can fluctuate daily, or even every half hour.

Monitor Further Price Adjustments

There is another price cap increase arriving in January 2025, so it pays to know and prepare. Check how much energy you are using periodically and be prepared to switch or lock in a new tariff if necessary.

Avoid Accumulating Energy Debt

If you are getting behind on payments, you should reach out to supplier immediately. Many have options for repayment plans or offers of assistance. It is going to spread, and if it does not spread, it will eat you alive.

Prepare for Winter Now

Usage is also higher in winter, particularly as the days grow shorter and there’s more cold. Outfitting your home with insulation, plugging draughts and putting on layers indoors are easy ways to keep warm without turning on the heating.

Taking action now can help reduce the impact of the increasing energy price cap. This proactive approach to your usage, your tariff and any available support will help keep your bills manageable — regardless of whatever the weather (or the market) has in store for us.