Energy experts have warned customers prices are set to rise by a record-breaking 54% but says customers are not 'completely powerless' to beat the price rise.
A new energy price cap issued by Ofgem, the energy regulator, earlier this year is set to increase average household from £1,277 to £1,971, although the amount that prices will rise is dependent on how much energy each home uses. However, experts says there are things people can do now to reduce the cost once the price rises kick in.
Justina Miltienyte, energy expert at Uswitch.com, says: “Energy prices are about to go up but this does not mean you are completely powerless. By taking some simple steps ahead of 1st April and taking control of your energy use and bills, you can make sure that you are best prepared for the incoming increases."
Read more: Is Aldi's heated clothes airer an energy saver? We tried it out
Switching services are advising people to not switch until after April but there other things people can check and they include potential rebates, using existing credit and implementing energy-saving options at home.
Use a smart meter
Using a smart meter allows you to monitor your energy usage and see how much energy you are using each day. This can inform decisions such as how high to have your heating set to, as well as showing you which household appliances use the most energy.
What's more, smart meters automatically send accurate meter readings to your supplier, ensuring you only pay for the energy you use instead of receiving an estimated bill. See how much you can save by using a smart meter here.
Ensure your bills are accurate
Even if you don't have a smart meter, you can still ensure you only pay for the energy you are actually using by taking a meter reading. Take a reading on March 31 and submit it to your supplier, which gives you proof of how much energy you used before the energy price cap increase comes into effect on April 1 and helps to ensure your bills are accurate.
Get into good habits
Making some small changes can add up and make a difference to your bills. Getting into good energy saving habits is a simple way to help cut costs. Try running your washing machine at 30 o C and putting on less, but fuller, loads of washing. Turn your hearing down by one degree and ensure you turn off lights and appliances when they are not being used.
Check your credit balance
Credit accumulates when you have paid your supplier more than your usage, meaning they owe you money. This can happen for a number of reasons, including overestimated bills, using less energy and switching suppliers.
You can find out if you have a credit balance by checking with your energy supplier. Uswitch would normally recommend that you claim this balance back before the summer, but, given the price rises, they advise you to leave your balance where it is. Any extra money in your account can act as a buffer against impending price rises.
Look out for energy support schemes or grants
If you are struggling with your energy bills, then help is available from the government and energy suppliers. The Warm Home Discount scheme will be opening for applications later this year, but many energy providers offer their own customer support funds. For example, the British Gas Energy Trust is a charitable organisation that has been set up to support individuals who are struggling to pay their bills, no matter which energy company they are with.
Check that your direct debit payments reflect your actual usage
This ensures that you pay the right amount in order to avoid paying too much or too little for the energy you are using. Check your payments and notify your energy supplier of any inaccuracies.
Review your other household bills
Although energy prices are exceptionally high right now, you might be able to find some ways to save on your other household bills. Take a look at your broadband, TV and mobile contracts and see if you could be paying less.
Look out for your £150 council tax rebate
The government has launched a package of support called the Energy Bills Rebate which aims to help households with rising energy costs. This will include a £200 discount on your energy bill this autumn, which will be repaid automatically over the next five years.
Households in England who are in council tax bands A to D will receive a £150 non-repayable rebate known as the Council Tax Rebate.
Customers who pay by direct debit will automatically get this rebate paid directly into their account, so if you do not already have a direct debit, it may be worth setting one up in order to get the rebate quicker. Those who pay by other methods will be contacted by the council and invited to make a claim.
Those who are in a higher council tax band and not eligible for the rebate can look out for the discretionary fund which has been set up for those who are struggling.
Keep up to date with the energy market
Signing up to alerts is a great way to keep informed of any deals which may become available, so keep an eye out on the market and stay up to date with what is going on. Some providers are offering fixed deals to their customers directly that may be better value than the ones out there on the wider market, so look out for an affordable deal. Also by signing up to comparison sites like MoneySupermarket and Confused.com you can also stay ahead of the game on energy deals should you want to switch in April.
Keep a budget in mind
If you do find a fixed rate deal, don't just go for it straight away. Make sure you know how much you are already paying for your energy and compare this with the deal to ensure you get the best price.
