Rising prices made energy one of the most significant household expenses in the UK in 2021. According to Ofgem, the energy market regulator, the cheapest dual-fuel tariff available last year was £1,268. That’s more than £100 a month. And prices are set to rise again in 2022 due to an increase in the energy price cap. 


This guide will explain the price rises, how energy bills work, and give you some practical tips for reducing your energy use. There are actions you can take right now to reduce your energy consumption, as well as some longer-term investments that will help you in the quest for cheaper energy bills.

 

Quick links:

1. The average UK energy bill is rising

2. 5 signs your home is energy inefficient

3. Help and advice on energy bills

4. Frequently asked questions

The average UK energy bill is rising

With the energy price cap set to rise by an eye-watering 54% in April across England, Wales and Scotland, bills will go up again. Those on a fixed-rate tariff may not see an immediate price hike, but typical households on default tariffs paying by direct debit will see energy costs jump by around £693 a year, from £1,277 to £1,971.

This increase has been driven by a record rise in global gas prices over the last six months, with wholesale prices having quadrupled in the last year. 

Your energy bill is made up of more than just the cost of the gas or electricity you’ve used. There are wholesale costs, network costs, operating costs, social and environmental commitments and VAT to consider. But, if you cut down on your energy use, you will help cut your bills too.

5 signs your home is not energy efficient

#1: You need the heating on all day and night, or for extended periods

#2: The floors and/or walls are cold to the touch

#3: You’ve tried other ways of warming up the house, like heavy curtains, draught excluders, and chimney balloons, but they’ve been ineffective

#4: Your energy bills are still costly, despite switching energy tariff

#5: There’s damp and condensation inside your home

Help and advice on energy bills

If you need further advice on your energy bills or help to cut your energy use, try these resources.

 

  • There will be some advice on your home’s Energy Performance Certificate. If you don’t have it, search for it online at https://www.gov.uk/find-energy-certificate
  • Simple Energy Advice - A UK government-backed site offering impartial advice
  • Home Energy Scotland - A government-backed source of impartial advice for people living in Scotland
  • Energy Saving Trust - An independent, trusted voice on energy efficiency
  • Citizen’s Advice - Help and advice on dealing with your energy bills and energy supplier
  • Ofgem - The UK’s independent energy regulator also offers advice for consumers
  • Uswitch - An online and telephone comparison and switching service that helps you to compare prices on a range of products and services, including energy suppliers

 

Depending on your circumstances and where you live, you may be eligible for assistance to make your home more energy efficient. To find out, check these resources:

 

To estimate your current energy costs and get tailored advice on how to reduce your consumption, try the Energy Efficiency Calculator from Simple Energy Advice.

Frequently Asked Questions

What is included in my energy bill?
What is the energy bill cap?
Can I fix my energy bills?
How can I improve energy efficiency in existing buildings?
How can I make an old house more energy efficient?
How to build an energy efficient house or building?
Are commercial landlords responsible for energy bills?
What is a landlord energy tariff?
Are there energy efficiency grants for landlords?
How can landlords improve energy efficiency?
Are there energy efficiency rules or requirements for landlords?
What are UK building energy efficiency standards?
How can architects and developers make new commercial buildings more energy efficient?
How to make a commercial building more energy efficient?
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