Energy and Broadband comparison with Spain

Markdavid1962

Just thought i would share this, I am wondering if the differences are due to Tax or profit from companies.

We purchased a house in Spain in 2021, so sharing the prices in Spain then and also today, compared to the UK

Broadband 600MB 20 euros per month in July 2021, price today still 20 euros (no increases) compared to my UK Broadband 300MB at £29.99 signed in April 2024, still £29.99

Gas (19kg bottle) price in 2021 was 17 euro, it did increase in 2023 but is now 18 euro in 2026, same bottle in UK is £60. The Gas bottle in Spain is for heating hot water, last about 2 to 3 months, also another bottle for Gas fires, last about 3 months.

Gas price in Spain has fallen by 4% in the last 6 months

Electric usage in Spain on an average month with no air conditioners turned on is 35 euros when we are in Spain, peak summer (August) can be as high as 120 euros, The price per KW is now being increased as the Government is removing the Covid subsidy which has been in place since 2021, so expecting an increase but not sure how much yet. Compared to my UK average direct debit of £72 pm in Northern Ireland which has just balanced out, now a low credit so £72 per month is spot on

Other comparisons Council Tax in Spain is 350 euros per year (including refuse collection), I was paying £350 per month in England, now paying £152 per month in Northern Ireland

So my question is how can the Spanish companies and council keep the price lower than the UK, is is taxes or is it profit.

Just sharing for interest…..anyone else got any comparisons…

QrizB

You've not actually told us what you are paying per kWh for electricity, or what it's increasing to

Your bottled gas prices are similar to UK bulk gas prices (about 45p/litre). A 47kg bottle is £80, so roughly double what you're playing in Spain.

Baldytyke88

AI Overview
Average annual salaries in the UK are significantly higher than in Spain, with Spanish wages often reported as roughly 40-50% lower in nominal terms. In 2024/2025, the average gross salary in Spain was roughly €27,000–€28,000 per year, compared to significantly higher figures in the UK, often exceeding £35,000–£40,000

Netexporter

I get 1000Mbps fibre broadband for £25/month. Was £20/m until a few months ago.

So, a mixed picture.

Ms_Chocaholic

What about other essentials - car insurance/home insurance, clothing, mobile phone etc

Scot_39

https://forums.moneysavingexpert.com/discussion/6654503/energy-and-broadband-comparison-with-spain

Not sure you can compare NI with rest of UK.

Certainly in the past - their regulator imposed far lower price increases at times than the wider UKs (Ofgem) allowed. And that pre Ukraine - but it seems very tariff dependent now on a quick google

UK regional costs

https://www.ofgem.gov.uk/information-consumers/energy-advice-households/get-energy-price-cap-standing-charges-and-unit-rates-region

For NI - are these realistic

https://www.consumercouncil.org.uk/consumers/help-consumers/electricity-oil-and-gas/switching-electricity-or-gas-supplier/electricity-price-comparison-table

and if others want to see mains gas - not cylinder - see

https://www.consumercouncil.org.uk/consumers/help-consumers/electricity-oil-and-gas/switching-electricity-or-gas-supplier/electricity

Theres certainly a massive difference on rates between fixes and variable with some suppliers - and on SC vs rest of UK - on a quick scan of a couple of the offerings - and a zero SC option

The unit rate on fixes "similar" to Ofgem cap variable - but at sub 1/3rd ave stranding charges - around 40p/day cheaper.

Mains Gas looks more expensive - on the one I had a quick look at - banded - higher upto 2000kWh on one area - zero SC. But around c9p vs UK now c6p/kWh

Op - your clearly still dual resident - do those NI consumer council unit and standing charge rates make sense to you.

As above absolute £s and €s make it difficult to compare - we kind of need unit rates and standing charges - for Spain too.

Qyburn

Remember that Spain's electricity grid blew its brains out last Spring.

MattMattMattUK

Only around 15% of Spain's total generation capacity comes from gas, it's generation is about 20% wind, 20% solar, 20% nuclear and 15% hydropower, natural gas makes up about 15%, with odds and sods, as well as importing from France making up the rest. It also has a different energy market so the price paid per kWh is not dictated by the most expensive of those (usually gas in the UK).

Another factor is that Spain has until recently subsidised electricity costs, although they do have VAT at 21% on energy bills, vs 5% in the UK. The Spanish government also directly invests in the energy network rather than relying on private enterprise to do so.

As for broadband that is hugely subsidised in Spain, various subsidies exist that have averaged around €1 billion per year over the last five years and have just been extended again, with another €1.1 billion of subsidy just for the first half of this year.

michaels

So in Spain tax payer money is used to make energy cheaper whereas in the UK tax by another name is added to everyone's bills to pay for subsidies to those on lower incomes.

Scot_39

https://forums.moneysavingexpert.com/discussion/comment/81877961#Comment_81877961

To be fair during the crisis - £10s bn of tax payers money was used to make UK bills cheaper - via EPG and EBSS etc. estimated at c£36bn for domestic users - £44bn total - plus many other adhoc payments - like £150 CT rebate etc.

Made worse by the UK electricity price auction system - the simplistic view if U like - the largest price wins - grid pricing system - that saw others earn the inflated gas rates. (Excluding some CfD renewables - but not all). So much so windfall taxes introduced on non CfD renewables.

Govt net zero and renewables policy, govt social policy and of course VAT itself adds £100s to all our bills.

The govt amount being shifted to taxation in Apr - £134 at cap TDCV - IF happens - only covers a fraction of the hidden to many costs of social and net zero policy.

The social policy line alone in the Ofgem duel fuel cap letters - now £236 - up 50% in under 2 years.

Total VAT - £84 etc

Oh and the final irony of the WHD help - is the 3.4 m already on it now pay the extra £17 - for the 2.7m other poor now entitled added in Oct - and the £7 "rebasing" of WHD costs in Jan cap - so are actually out of pocket by £24 in last 2 caps - compared to last winter - to in part help people like themselves - paid too low benefits to afford their energy needs. UK civil service / govt dept logic at it's finest - NOT.

Markdavid1962

Scot_39 Spanish electric rates for my latest bill of 31 euros

Facturación por potencia contratada ("TÉRMINO FIJO"): 15,88 €
Importe por peajes de transporte y distribución potencia:
P1 (punta): 6,5 kW x 29 días x 0,062901 €/kW día 11,86 €
P2 (valle): 6,5 kW x 29 días x 0,001211 €/kW día 0,23 €
Importe por cargos potencia:
P1 (punta): 6,5 kW x 29 días x 0,010881 €/kW día 2,05 €
P2 (valle): 6,5 kW x 29 días x 0,0007 €/kW día 0,13 €
Margen de comercialización fijo:
6,5 kW x 29 días x 0,008529 €/kW día 1,61 €
Facturación por energía consumida ("TÉRMINO VARIABLE"): 7,84 €
Importe por peajes de transporte y distribución energía:
P1 (punta): 7 kWh x 0,034234 €/kWh 0,24 €
P2 (llano): 15 kWh x 0,01654 €/kWh 0,25 €
P3 (valle): 38 kWh x 0,000079 €/kWh 0,00 €
Importe por cargos energía:
P1 (punta): 7 kWh x 0,058305 €/kWh 0,41 €
P2 (llano): 15 kWh x 0,011661 €/kWh 0,17 €
P3 (valle): 38 kWh x 0,002915 €/kWh 0,11 €
Coste de la energía:
60 kWh x 0,111000 €/kWh 6,66 €
Facturación por financiación del bono social
29 días x 0,012742 €/día 0,37 €
Subtotal por potencia y energía 24,09 €

Impuesto de electricidad
5,11269632 % s/24,09 € 1,23 €
Alquiler del contador
29 días x 0,02663 €/día 0,77 €
IMPORTE TOTAL 26,09 €
Impuesto de aplicación
IVA 21 % s/26,09 € 5,48 €
TOTAL IMPORTE FACTURA 31,57 €