6 ways to save money on bills as energy price cap rises
From Tuesday 1 October, gas and electricity prices will increase by 10% in England, Scotland and Wales - pushing the typical household’s annual bill up by £149 to £1,717.
The new energy price cap, which is set every three months by the regulator Ofgem, will cover the period between 1 October and 31 December. Gas prices will be capped at 6.24p per kilowatt hour (kWh) while electricity prices will be capped at 24.50p per kWh.
It comes as millions of Brits are bracing for ongoing cost of living pressures as the colder months draw in. Households will need to turn on lights for longer, use more appliances and put the heating on as the temperatures drop and the nights get longer, but many will be concerned about whether they can afford it.
Consumer champion Which? has launched a new home energy planning service to help Brits reduce their energy bills, in preparation for autumn and winter.
The online service is free to use. Users must enter their postcode and select their address in order for the tool to pull together data about the property and suggest improvements that could be made, as well as estimate costs and potential savings.
In addition to the new tool, Which? has also compiled six tips to help you make your home more energy efficient so that you can get ahead of the price cap rise. These include checking your energy bills, using your appliances more efficiently, making small home improvements, and more.
Emily Seymour, Which? energy editor, says: “There are simple steps you can take right now that won’t cost a penny but could help you cancel out the cost of the increase in the price cap.”
1. Check your energy bills
The first thing you should do is check your energy bills to see if there are savings to be had. Which? says that, while you likely won’t save a huge some by switching provider or tariff, you should consider paperless bills and paying by direct debit if you haven’t already.
You could save over £50 per year by switching to one of the cheapest deals on offer compared with the price cap. You can also opt for a fixed energy deal, but look for one that costs less than the October price cap.
Which? warns customers not to commit to a deal for too long, however, in case energy prices change, and to look out for high exit fees - they’ve spotted tariffs with early exit penalties that could set you back as much as £125.
2. Check your home’s insulation
Making small improvements to your home’s insulation can add up to significant savings, as more insulation will add up to more money off your energy bills.
For example, it can cost as little as £15 to fit insulation around exposed hot water pipes. Your home could also benefit from draught proofing areas like sash windows, loft hatches, cracks in walls, and floors and skirting boards. You can either purchase a draught excluder or make one yourself by filling a large piece of fabric with old clothes or rice.
3. Check your appliances
Appliances like washer dryers and condenser tumble dryers can run up expensive bills. Which? recommends washing laundry at 30C instead of 40C, as testing shows it can make doing laundry 38% cheaper.
Your dishwasher can also be a source of savings. Stack them efficiently and only run the machine when it is full to make good use of it, for a bit less money.
4. Check your water heating
If you have a hot water tank, you can make some savings by using heating controls to turn your water heating on and off so you only heat as much water as you need.
If you have a combi boiler that heats water on demand, try setting your water temperature a little lower and avoid running hot water for a long time when you’re washing dishes or showering.
5. Check your home heating system
You don’t have to heat your entire home all day long during the colder months, and this would push your bills up exponentially anyway. Heat only the parts of your home that need it. You can set different temperatures for different areas of your home and keep it at a comfortable temperature without wasting heat.
If you don’t already have them, Which? recommends installing a room thermostat, programmer or thermostatic radiator valves to help you heat areas as and when they are needed. This can save the typical household over £100 on energy bills each year, according to the Energy Saving Trust.
You may also be able to make a 6% to 8% saving on your gas bills by lowering your combi boiler’s radiator flow. Some are set as high as 80C, but you may find your radiators heat up comfortably with a flow temperature of 60C or less. Check your boiler’s manufacturer instructions or as your boiler engineer to show you how to do this during a service.
Speaking of boilers…
6. Check your boiler
Make sure you get your boiler serviced every year and ask your engineer to make sure it is running as efficiently as possible.
If your boiler is very old and faulty, consider replacing it as a new model may be cheaper to run. Buying a new boiler can cost around £3,700, though, so only replace it when it is at the end of its life.
There are a number of schemes and grants you can take advantage of if you require bigger home improvements, such as the Boiler Upgrade Scheme, which offers consumers in England and Wales up to £7,500 to replace their current gas or oil heating with low-carbon heating systems, such as heat pumps.
Read more about saving money at home:
How to save £900 on food a year, according to an expert (Yahoo Life UK, 9-min read)
Money-saving expert shares easy way to slash cost of household item at supermarket (Daily Record, 2-min read)
19 Money-Saving Tips That Are Really Easy And People Swear By (Buzzfeed, 7-min read)
