Six ways to fight back against greedy energy companies!


Updated on 27 April 2011 | 5 Comments

Fed up with paying through the nose for your gas and electricity while your supplier continues to profit? Follow these top tips to slash your bills!

The weather may have improved lately and the heating has been switched off, but that shouldn't mean it's time to ignore your gas and electricity bills.

According to research by Energy Helpline, the UK as a whole has been hit by a total £12.24bn bill for the latest quarter from January to March. Ouch.

The combination of cold temperatures and an average 5.4% increase in energy prices has meant that consumers are having to pay an additional £57.66 for their quarterly winter bill - taking the average bill to £453.

With many people already struggling with their finances, this will be very unwelcome news. And with many of the cheapest fixed-rate energy tariffs having recently expired, a number of consumers will now be paying far more for their tariffs than perhaps they realise.

So even though spring has arrived, this doesn't mean you should take a backseat and forget about how much you pay for your gas and electricity. Instead, here are six ways you can fight back against those greedy energy suppliers!

Rachel Robson gives you the lowdown on five ways to cut your energy bills

Get switching!

First and foremost – get switching! If you haven’t switched your energy supplier in a while, or even if you have, there’s a good chance there’s a cheaper tariff out there for you. An easy way to find out is to check our gas and electricity comparison tool which offers 16,000 tariff variations at any one time - so there really is plenty to choose from. You can save an average of £256 a year through our service.

Pay the right way

If you want to get the best deal for your money, make sure you choose an online tariff as this is likely to work out cheaper than one that isn’t. Similarly, it’s a good idea to pay by direct debit, as again, this should help you to save the pennies.

And it’s also worth checking to see whether paying for dual fuel – in other words, using the same company for your gas and electricity – works out cheaper.

Check your bills

When you receive your bill, make sure it’s showing an actual reading rather than an estimated one. It’s far too easy to simply assume the reading is accurate, but in fact, you may be paying far too much. If the reading is estimated, take the time – it’ll only take a few minutes – to check your meter and submit the reading to your supplier.

Your supplier should then recalculate your bill and re-issue it.

Get insulated!

It might sound obvious, but if you’ve got proper insulation in your home, you’ll keep more energy in and therefore save money on your bills.

In fact, according to the Energy Saving Trust, loft insulation could save you around £145 a year, while cavity wall insulation could save you around £110 a year.

If you’re worried about how much this will set you back initially, it’s worth finding out whether you are eligible for a government or local authority grant. If you’re over 70, you can have your home insulated for free, and if you’re over 60, there’s also a good chance of getting financial help.

However, even if you don’t fall into these age categories, you may still find you’re entitled to some form of grant, so it’s worth checking to see whether you are eligible.

Related how-to guide

Cut your energy bills

Fight back against rising energy prices with these top tips.

What’s more, if you’re on certain income-related benefits, you may also be entitled to a package of insulation and heating improvements up to the value of £3,500. The scheme is known as Warm Front in England, Warm Homes in Northern Ireland and the Energy Assistance Package in Scotland. It was formally known as the Home Energy Efficiency Scheme in Wales - however, this has now been replaced with Nest.

So make sure you check this out.

Claim what you’re entitled to

It’s also worth remembering that if you’re aged 60 or over, you may get a Winter Fuel Payment to help cover your heating costs.

The qualifying age for Winter Fuel Payment for both men and women is rising in line with the increase in women's State Pension age. To reach the qualifying age for Winter Fuel Payment for winter 2011/12, you will need to be born on or before 5 January 1951.

Exactly how much you receive will depend on your personal situation. But generally, if you’re aged 60 to 79, and you live alone or are the only person in the household who qualifies, you will receive £200. If you live with another qualifying individual you'll receive £100.

If you’re 80 or over, and you live alone you'll receive £300. If you live with another qualifying individual but are the only person in the household who's aged 80 or over, you'll receive £200, and if you and at least one other person are aged 80 or over, you'll receive £150.

Related blog post

However, if you live in a care home and don’t get pension credit or income-based jobseeker’s allowance, you’ll receive £100 if you’re aged 60 to 79, and £150 if you’re over 80.

The claim form for winter 2011/12 will be available on the DirectGov website from mid August 2011.

What's more, if you’re struggling financially, all energy providers must offer social tariffs to help their most vulnerable customers. All social tariffs must be equal to the supplier’s cheapest deals. You can find out more about what’s on offer here – but if you are struggling to pay your bills, make sure you talk to your provider and see if you can be moved to a cheaper tariff.

Use energy-saving devices

Finally, you could also think about using energy-saving devices. For example, you can pick up this Onzo Wireless Smart Energy Kit from Amazon which is an in-home energy display, helping you to track how much energy you're using and how much you're paying for it. It will alert you when you're using a lot of energy and set targets for your daily energy consumption.

The device is a little pricey at around £70, but if you're a Scottish and Southern customer you should have already received one in the post for free.

Of course, there are also a wide range of other energy-saving devices - some of which we looked at in 16 gadgets that will save you money.

This is a classic article that has been updated for 2011.

More: Compare gas and electricity tariffs | OFGEM proposals unlikely to do much good | You're being overcharged for your gas

Comments


Be the first to comment

Do you want to comment on this article? You need to be signed in for this feature

Copyright © lovemoney.com All rights reserved.

 

loveMONEY.com Financial Services Limited is authorised and regulated by the Financial Conduct Authority (FCA) with Firm Reference Number (FRN): 479153.

loveMONEY.com is a company registered in England & Wales (Company Number: 7406028) with its registered address at First Floor Ridgeland House, 15 Carfax, Horsham, West Sussex, RH12 1DY, United Kingdom. loveMONEY.com Limited operates under the trading name of loveMONEY.com Financial Services Limited. We operate as a credit broker for consumer credit and do not lend directly. Our company maintains relationships with various affiliates and lenders, which we may promote within our editorial content in emails and on featured partner pages through affiliate links. Please note, that we may receive commission payments from some of the product and service providers featured on our website. In line with Consumer Duty regulations, we assess our partners to ensure they offer fair value, are transparent, and cater to the needs of all customers, including vulnerable groups. We continuously review our practices to ensure compliance with these standards. While we make every effort to ensure the accuracy and currency of our editorial content, users should independently verify information with their chosen product or service provider. This can be done by reviewing the product landing page information and the terms and conditions associated with the product. If you are uncertain whether a product is suitable, we strongly recommend seeking advice from a regulated independent financial advisor before applying for the products.