URGENT UPDATE - The energy price cap will increase by £1,578 (80%) to £3,549 on 1 October 2022. As things currently stand it could increase to over £5,000 in 2023.
- This increase will affect 24 million households, roughly 90% of the population. Compared to the Oct 2021 price cap of £1,277, the latest change will…
- Increase household energy bills by £2,272 (178%) in just 1 year.
- Increase monthly direct debits from £106 / month for a household with average usage to £296 / month. An increase of £190.
- Barring a reduction in energy usage, which will happen and could be significant, will increase aggregate household spend on energy by £60 billion to £96 billion (4% of GDP).
We appreciate that none of this is good news and some of it will be outright distressing. Further government support with energy bills is coming. We don’t how much it will be, what form it will take and who will get it. Be we do know it is inevitable.
Unfortunately,, with the regulator Ofgem being AWOL as far as its fundamental duty to “protect the interests of consumers” “by promoting effective competition” goes, then there is no easy fix to cut your energy bills by switching energy supplier or energy tariff. It is also difficult to see when energy switching might return. Until then, we will pivot to trying to help consumers through the combined energy and cost of living crisis. We will be publishing information, advice and comparative data in order to help you cut your energy bills, make the most of any benefits you may be entitled to, and see who is doing what to help.
You can find much more information about the new energy price cap and how it will affect you by reading our Energy Price Cap Guide..
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