Millions of Britons urged to submit meter readings before energy price cap rises on Wednesday
Millions of Britons could pay higher energy bills than they need to if they do not submit a meter reading before the price cap rises on Wednesday.
The estimated 5.3 million households on standard tariffs who do not have a smart meter have been urged to take action before the new unit rates for gas and electricity take effect.
The price cap, set by the regulator, Ofgem, is set to increase by 13% on Wednesday and households who do not submit up-to-date meter readings risk having some of their June usage charged at the new, more expensive rates.
The cap sets the maximum energy rates paid by homes on standard tariffs. Households who pay via direct debit will see electricity charges rise from the current rate of 24.67p a kilowatt hour to 26.11p, while gas charges will rise from 5.74p a kWh to 7.33p.
Based on the new rates, the average gas and electricity bill will increase by £221 to £1,862 a year. The step up reflects the spike in global energy market prices caused by the war on Iran.
Ben Gallizzi, an energy expert at the price comparison website Uswitch, said “Customers who don’t have a smart meter should submit their readings before or on Wednesday 1 July, so their supplier has an accurate view of their account.”
He said people on standard tariffs should also look for a cheaper deal.
Although the price cap is going up, “your bills don’t have to,” Gallizzi said. “There are currently 27 fixed deals available that are cheaper than July’s price cap.”
For those looking to fix their unit prices, at the time of writing, Uswitch’s best buy table was topped by Outfox Energy at £1,577 a year for the average household, 15% below the July price cap.
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The good news, of sorts, is that the higher rate is kicking in during warmer, brighter months when households are not using their heating.
Another bill rise had been predicted when the cap resets again in October, but that looks less certain after the recent interim peace agreement signed by the US and Iran led to declines in wholesale gas prices.
Read the full story at The Guardian ↗
The energy price cap in the UK is increasing by 13% from Wednesday, raising the standard unit rates for both gas and electricity. This will add approximately £221 annually to the average household bill on standard tariffs, bringing yearly costs to £1,862. Around 5.3 million households without smart meters are being advised to submit current readings before the change takes effect, to ensure their June consumption is charged at existing rates rather than the new higher ones. Some households can access fixed-rate deals that remain below the new cap level. The increase takes effect during summer months when energy demand for heating is naturally lower. Recent developments in global energy markets, including a US-Iran interim agreement, may affect pricing when the cap resets again in October.
Read the full story at The Guardian ↗
Millions of Britons could pay higher energy bills than they need to if they do not submit a meter reading before the price cap rises on Wednesday.
The estimated 5.3 million households on standard tariffs who do not have a smart meter have been urged to take action before the new unit rates for gas and electricity take effect.
The price cap, set by the regulator, Ofgem, is set to increase by 13% on Wednesday and households who do not submit up-to-date meter readings risk having some of their June usage charged at the new, more expensive rates.
The cap sets the maximum energy rates paid by homes on standard tariffs. Households who pay via direct debit will see electricity charges rise from the current rate of 24.67p a kilowatt hour to 26.11p, while gas charges will rise from 5.74p a kWh to 7.33p.
Based on the new rates, the average gas and electricity bill will increase by £221 to £1,862 a year. The step up reflects the spike in global energy market prices caused by the war on Iran.
Ben Gallizzi, an energy expert at the price comparison website Uswitch, said “Customers who don’t have a smart meter should submit their readings before or on Wednesday 1 July, so their supplier has an accurate view of their account.”
He said people on standard tariffs should also look for a cheaper deal.
Although the price cap is going up, “your bills don’t have to,” Gallizzi said. “There are currently 27 fixed deals available that are cheaper than July’s price cap.”
For those looking to fix their unit prices, at the time of writing, Uswitch’s best buy table was topped by Outfox Energy at £1,577 a year for the average household, 15% below the July price cap.
after newsletter promotion
The good news, of sorts, is that the higher rate is kicking in during warmer, brighter months when households are not using their heating.
Another bill rise had been predicted when the cap resets again in October, but that looks less certain after the recent interim peace agreement signed by the US and Iran led to declines in wholesale gas prices.
Read the full story at The Guardian ↗
The energy price cap rises 13% on Wednesday 1 July Electricity charges rise from 24.67p to 26.11p per kilowatt hour; gas charges rise from 5.74p to 7.33p per kWh Average annual bills increase by £221 to £1,862 for households on standard tariffs paying by direct debit Approximately 5.3 million households on standard tariffs lack smart meters Households without smart meters should submit meter readings by Wednesday to ensure accurate billing 27 fixed-rate deals are available below the July price cap Outfox Energy offers a deal at £1,577 annually, 15% below the July cap The price rise occurs during warmer months when heating use is lower A US-Iran interim peace agreement has led to declines in wholesale gas prices, making further October increases less certain
Read the full story at The Guardian ↗
- UK energy price cap rises 13% on Wednesday 1 July, increasing electricity to 26.11p/kWh and gas to 7.33p/kWh
- Average annual bill rises by £221 to £1,862 for households on standard tariffs paying by direct debit
- An estimated 5.3 million households without smart meters should submit meter readings before Wednesday to avoid higher charges on June usage
- Some fixed-rate deals remain available below the new price cap, with Outfox Energy cited at £1,577 annually
- The timing coincides with warmer months when heating use is lower, and recent US-Iran peace agreement may limit further rises in October