This article is from the source 'bbc' and was first published or seen on . The next check for changes will be
You can find the current article at its original source at https://www.bbc.com/news/articles/ce3lx7k092vo
The article has changed 5 times. There is an RSS feed of changes available.
Version 0 | Version 1 |
---|---|
Energy bills forecast to rise by £85 a year | Energy bills forecast to rise by £85 a year |
(32 minutes later) | |
Energy prices are expected to rise despite seasonal change | Energy prices are expected to rise despite seasonal change |
Domestic energy prices are forecast to rise by 5% from April, adding £85 a year to household bills, according to consultancy Cornwall Insight. | Domestic energy prices are forecast to rise by 5% from April, adding £85 a year to household bills, according to consultancy Cornwall Insight. |
The forecaster, which is widely regarded for its accurate predictions, said a household using a typical amount of gas and electricity would pay £1,823 a year. | The forecaster, which is widely regarded for its accurate predictions, said a household using a typical amount of gas and electricity would pay £1,823 a year. |
The predicted higher prices will take effect at the same time as increases to water and council tax bills in April. | The predicted higher prices will take effect at the same time as increases to water and council tax bills in April. |
However, minimum wage levels will also go up while benefits and the state pension will increase. | However, minimum wage levels will also go up while benefits and the state pension will increase. |
Cornwall forecasts that the price cap will rise from its current level of £1,738 per year for a typical household. | |
The predicted rise will come as the days get lighter and warmer, when energy use tends to fall. | |
Cornwall say the hike is due to a combination of colder weather and a fall in gas storage levels across Europe, which has led to a sharp rise in wholesale prices. | |
Bills are about 50% higher than pre-Covid levels, but remain below the peak seen in 2022 when Russia's invasion of Ukraine caused energy prices to spike. | |
With gas and electricity prices set to increase, some homes might look at the options available to fix their energy tariff. | With gas and electricity prices set to increase, some homes might look at the options available to fix their energy tariff. |
Ofgem, the regulator, will announce the official new energy price cap level on 25 February, which will affect homes in England, Wales and Scotland. | Ofgem, the regulator, will announce the official new energy price cap level on 25 February, which will affect homes in England, Wales and Scotland. |
The price cap affects 26 million households on default, variable tariffs and is set every three months by Ofgem. | |
While the cost of each unit of gas and electricity is capped, the total bill is not, so household bills will vary depending on how much energy is used. | |
The regulator illustrates the cap by showing the impact on the annual bill of a household with typical energy usage. | The regulator illustrates the cap by showing the impact on the annual bill of a household with typical energy usage. |
In January, there was a 1.2% rise - which worked out as £1.75 extra a month compared with the previous cap. | In January, there was a 1.2% rise - which worked out as £1.75 extra a month compared with the previous cap. |
A period of high prices means households have collectively built up debt of £3.8bn to suppliers. | A period of high prices means households have collectively built up debt of £3.8bn to suppliers. |
The average household in arrears owes more than £1,500 for electricity and £1,300 for gas. | The average household in arrears owes more than £1,500 for electricity and £1,300 for gas. |
How to keep energy use - and bills - down | How to keep energy use - and bills - down |
Experts have shared three tips to keep on top of energy use during the warmer months: | Experts have shared three tips to keep on top of energy use during the warmer months: |
If your hot water is too hot to wash your hands in, then your setting is too high so turn the boiler down | If your hot water is too hot to wash your hands in, then your setting is too high so turn the boiler down |
Manage your draughts, such as putting a black bag with scrunched up paper up an unused chimney, or limit other draughts around the home | Manage your draughts, such as putting a black bag with scrunched up paper up an unused chimney, or limit other draughts around the home |
Limit time in the shower to four minutes. The charity WaterAid has compiled a playlist of four-minute songs to keep you to time | Limit time in the shower to four minutes. The charity WaterAid has compiled a playlist of four-minute songs to keep you to time |
Read more here if you are struggling to pay energy bills | Read more here if you are struggling to pay energy bills |