Brits burnt by price hikes
SPRING may now be in sight but Britons are bracing themselves for massive home energy bills, after a freezing winter where people spent more time indoors due to lockdowns.
More than 12 million Britons spent the winter working from home, which added on average £128 to their energy bills. One in seven will pay more than £200 extra, according to research from comparison site Forbes Advisor UK.
In another blow, the energy price cap will increase on April 1, adding £96 to the average gas and electricity bill for 11 million households on standard variable tariffs (SVTs).
British Gas, Eon, Scottish Power, Npower and EDF have already said they will raise prices up to the cap.
Customers on their SVTs will now pay a hefty £1,138 a year on average.
Kevin Pratt, personal finance expert at Forbes Advisor, said energy bills could be higher than ever over the coming months: “Households on SVT default tariffs will be clobbered by the price cap rise in April if they stay put, so should think about switching to a cheaper alternative.”
Every household should also shop around to see if they are on the most competitive deal, Pratt said.
This is not the only way to make bills affordable, said Myles Robinson, co-founder of BoilerCentral.com. “Struggling households can also claim a variety of government grants and benefits.” Some are paid automatically, others you have to claim.
● Winter Fuel Payment. Older people can get between £100 and £300 to help pay their heating bills. It should be paid automatically to those born on or before October 5, 1954. If you have not got your payment by the end of the month visit the Winter Fuel Payment Centre at Gov.uk.
● Cold Weather Payments. These give eligible people £25 for each seven-day period of very cold weather. Payments were triggered in many areas in February and paid automatically to people on Pension Credit, Income Support, incomebased Jobseeker’s Allowance, incomerelated Employment and Support Allowance or Universal Credit.
● Warm Home Discount Scheme. This gives those on low incomes or who get the “guarantee credit” part of Pension Credit £140 off their electricity bill. Not every energy supplier has signed up so if you are eligible, check what yours offers.
● Green Home Grants. These offer homeowners and residential landlords a voucher of up to £5,000 towards energy-efficient improvements, such as insulation or low-carbon heating.
Those claiming benefits could get £10,000. The deadline for completing the work has been extended to March 31, 2022.
● Charitable grants.The British Gas Energy Trust offers grants to help indebted people pay off energy debts, and you do not even have to be a customer to claim it.
Scottish Power Hardship Fund, Ovo Debt and Energy Assistance, Eon Energy Fund, EDF Energy Customer Support Fund, Npower Energy Fund and Bulb Energy Fund offer grants specifically for their customers.
For more information on these payments and grants, see Gov.uk.