July Energy Increases are enormous.

WOTSWOT

Except when BG update their system and I don't get any bills for a year !

In view of an earlier post I have double checked my cost analysis and my figures are incorrectly allocated.

My projected total annual energy bill is only going up by 17% made up of 27% increase in the unit gas price, 6% increase in electricity and very little change in standing charge. I guess that means I'm not using that much more gas now to stay warm !

TroubledTarts

But get off that silly rate of pay on receipt of bill !!

You might as well be burning money

AlvyLad

for about 20 years now, I'm changing my suppliers almost yearly, occasionally going back to etc, ALWAYS chose smaller/newer ones purely for the sake of it, sometimes, it doesn't even make mathematical sense, but I expect (and get) better treatment, than by big companies, with their "corporate policies", investor concerns etc.

Personally, yesterday switched to Home_Energy, from Octopus_Energy, (obviously run comparison sites and MSE one, as well as double checking all tariffs on their own websites etc)… got to admit did check British_Gas one, no shocker, when some say all "suppliers" run mere up to 3% margin, in quotes, they would've been ~+20% more expensive, than my existing or new suppliers….

Hence, my recommendation, instead of worry of +17% price increase, run comparison sites, switch supplier and save -20% for a year or crank that thermostat right up to that unbearable 75F for the same money

FreeBear

https://forums.moneysavingexpert.com/discussion/comment/82025317#Comment_82025317

I've insulated *this place as far as practical (and within my budget) along with improvements to the heating system. As a result, I've managed to cut gas consumption by over a half. But I'm sitting here today contemplating putting the heating on - In part, due to weather and also because (according to GP & local hospital) I'm getting "old".

Insulation can only help to reduce heat loss. It does nothing to heat the place up.

Chrysalis

We need a breakdown of price per unit vs daily charge, as that Ofgem statement is otherwise still not going to help much on light vs heavy users.

bristolleedsfan

https://forums.moneysavingexpert.com/discussion/comment/82025857#Comment_82025857

Regional as well as different payment methods SC and unit rates can be seen via this link.

https://www.ofgem.gov.uk/information-consumers/energy-advice-households/energy-price-cap-unit-rates-and-standing-charges#:~:text=From%201%20July%20to%2030%20September%202026%2C%20the%20price%20cap,in%20England%2C%20Scotland%20and%20Wales.

Scot_39

https://forums.moneysavingexpert.com/discussion/6671363/july-energy-increases-are-enormous

i think you may have the 17% and the 27% mixed up here.

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

The Ofgem average gas rate has gone from 5.74 to 7.33p/kWh - 27.7%

And the c17% suggests your ratio of gas to electric higher than the duap fuel dd cap which is up 13% Ofgem press release 13.5% MSE iirc on average - but no doubt regional variations

But although its difficult to predict what will happen this winter, when demand for gas especially in UK and Europe rises dramatically - some perspective rather than hyperbole and panic might be better.

During Ukraine crisis some - including a couple of my more elderly neighbours were driven by fear and media headlines - to be too scared to use heating. With govt help many actually paid less as lowish users in small modern 1 or 2 bed homes.

As current predictions are far far below the Q1 2023 raw cap peak - when even with EPG - from Oct 22 to Jul 23 gas reached a far higher c10.33p / kWh. 3p more than July

https://www.gov.uk/government/publications/energy-bills-support/energy-price-guarantee-up-until-30-june-2023

However given govts stated intent not to compensate all - if any as no plans yet announced households beyond current whd levels this winter its worth remembering what was realky going on whilst we sheltered at fsr below market rates in 2022/23 - during the often mocked Truss's £2500 EPG discounting and Cons EBSS £400 payments during Ukraine crisis.

When of course market rates higher - at peak EPG discounting, in Q1 2023 - with a 6.72p/kWh discount (explicit shown on some suppliers bills, hidden on others iirc) and without EPG support that cost £23bn across majority of 29m homes - the raw Ofgem cap rate peaked at nearly 10p more than July's 7.33p - at 17.05p/kWh.

The equiv figures for single rate electric JULY 26 c26.11p/ kWh versus iirc c34p for 9 months EPG rate and c33.4 peak discount and so c67.4p/kWh raw Ofgem market based cap rate for Q1 2023 (which for both fuels based on late 2022 averaging window)

As I said - we are currently below those EPG capped let alone raw prices.

But i doubt we will see another £35bn govt aid - the audited cost of EBSS and EPG - over c29m homes - £1200 ave - EBSS for many not all £400+ £800 ave EPG cap/discounting - more paid to high users of course pro rate with consumption. (But that one of the reason some in govt have said will not be repeated as uncapped as favoured rich in largest homes this winter).

Scot_39

Standard credit is by regional average any rate by far the most expensive cap variable energy.

Pay by direct debit or swap to prepay and save - standard credit at cap tdcv is over£10/month more than DD, even more so than prepay.

https://www.ofgem.gov.uk/sites/default/files/2026-05/Summary-of-changes-to-energy-price-cap-1-July-to-30-September-2026.pdf

From July

DD - £1862,

standard credit £2005, so extra £143 pa, or £12pm

Prepayment £1812, £50 pa lower or £4pm than DD, £193pa or £16 pm lower rhan standard crddit.

And that prepay £1812 only £50 more than current Q2 standard credit £1772 cap - giving a much lower c3% rise in July. Or DD new £1862 - £90 more, c5% rise.

With DD the annual average smoothing may even help you budget for high winter bills - but if want to continue to pay as you use - you could look at monthly variable direct debit - at many but not all suppliers - you will pay for use monthly automatically by direct debit - c2 weeks after bill raised - but at cheaper DD not credit rates.

Check out your potential regional savings here though for your region and average energy use mix - as regional variations exist

https://www.ofgem.gov.uk/information-consumers/energy-advice-households/energy-price-cap-unit-rates-and-standing-charges#heading-standing-charges-and-unit-rates-paid-by-standard-credit-1julyto-30september2026

tfhnota

It is interesting that near "criminal" enterprises like many energy companies give such a hefty discount for providing them with your DOB, real name and bank details…

Also, as you age it is important to do more exercise rather than rely on super-heating the house/apartment, buying a cross-trainer (between zero for a used one via FB Marketplace and £140 via eBay) cheaper than cranking up the gas.

TroubledTarts

https://forums.moneysavingexpert.com/discussion/comment/82027011#Comment_82027011

I think that's called protecting themselves so they can financially secure any debt to an individual with the details they hold. They are businesses after all and you can't just give away something for free with no details for recovery. If it's an incentive that gives them that extra information then so be it.

I would suggest many that have issues with this are those that don't intend to pay.