Energy experts have said it is “difficult to see how many will cope" this winter as a final prediction suggests the price cap will increase by 80 per cent to an eye-watering £3,554 from October. It is the final forecast from the industry analysts before regulator Ofgem announces the new price cap on Friday, which will come into effect on October 1 and last until the end of the year.
But Cornwall Insight warned things will get worse for millions of people after that and said their analysis shows energy prices are set to rise to £4,650 from January. So between October and April - which includes the coldest months of the year - the average household will pay an equivalent £4,102 per year for their gas and electricity.
It would be a massive jump from today's £1,971 price cap, which is already a record high, and much steeper than the £1,138 seen last winter. To help households get an early start on preparing for the price hike and colder weather, GoCompare is urging people to use the last few weeks of summer to get winter ready and have shared some simple steps everyone can follow.
Gareth Kloet, energy spokesperson at GoCompare, said: “It might sound counter-intuitive, but now is the best time to get your energy house in order.
“This is the time when you will use the least amount of gas and electricity and so, if you are able to, it might be worth upping your direct debit slightly to give yourself some credit for the coming winter months.”
GoCompare energy top tips to soften the winter price cap blow
- Catch up on any arrears you may have with your energy provider
- Use the warmer weather and lighter nights to cut back on energy usage around the house
- Make sure you are regularly providing meter readings to your energy provider so that your bills are up to date
- Try to resist asking for credit balances to be returned (if you are lucky enough to have one) or if you do, try to keep it in the bank for your next bill increase
- If you can, increase your monthly Direct Debit spend now so the next rise comes as less of a shock
GoCompare energy also suggests having a think about implementing any energy efficiency advice that you may have previously been putting off as it’s easier to do lots of those things in the summer than in the wintertime. For example, replacing windows and doors, boiler servicing or replacement, or flushing radiator systems to improve efficiency.
Gareth added: “If you do have credit with your energy provider, consider leaving it there for a rainy, or in this case, cold day. Having that credit could mean the difference between a massive hike or a smaller increase come October’s price cap implementation.
“If you have been advised to get double glazing fitted, or told that your boiler could do with a service - now is the time to do it, when the window fitters and particularly the plumbers are less busy. It will not only save you the stress of a broken boiler, but also could save you a few pounds, as efficient boilers and windows will save energy in the long run.”
For some other tips on how to save energy, visit the GoCompare website here.
To keep up to date with the latest energy news, join our Money Saving Scotland Facebook group here or subscribe to our newsletter which goes out three times each week - sign up here.
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