Some UK households risk paying £348 more for energy bills from July, according to new research. Households on standard tariffs will pay 25% more to use their electrical appliances than those on the cheapest available fixed deals.
Price cap increase predicted
Uswitch.com research shows that with the price cap predicted to increase 12% to £1,837 on 1 July, households on standard tariffs will face significantly higher costs. The average home using 8,625kWh of gas for heating annually will pay £605 for heating on a standard tariff from July, compared with £517 on the cheapest fixed deal – an extra £88 per year.
Bigger impact for high-use households
The difference is particularly stark for homes that use more energy. A high-use household would pay £2,209 annually on the cheapest fixed deal currently available, but £2,592 on a standard tariff – an extra £384 a year.
Ben Gallizzi, an energy expert from Uswitch.com, said: “Every time you use an electrical appliance in your home from July, it’s likely to cost you 25% more if you’re on a standard tariff than someone who’s snapped up the cheapest fixed deal.
“These extra costs add up, and it could mean you’re wasting £88 a year on your heating bill, plus an additional £19 annually to use your oven, and £16 more a year just to shower. Take a moment to check online to see what deals are available to you. The best fixed deals available at the moment are £323 cheaper than the predicted July price cap.”
Martin Lewis advice for renters
Martin Lewis, the BBC and ITV star, reminded energy users: “Renters, you have a right to switch energy tariff if you pay for it. As long as you pay the bills directly (rather than through a general 'bills included' package) and don't need to physically switch the meter, you don't need your landlord's permission to switch tariff, though for courtesy's sake, it's worth letting them know.
“And for the last week, for the first time in many weeks, people can both save and protect themselves from price hikes by getting a cheap fix. As your winner depends on usage and location, do a quick full market comparison asap to find your cheapest deal.”
