Warning energy bills to remain high for the coming months

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This is a sizable increase as average bills are currently £2,500 a year with the Government capping the unit price of energy that consumers pay. The bills hike will be made worse as many Britons will stop receiving the current £67 a month energy bills discount.

Jack Roberts, CEO of SlothMove, spoke to Express.co.uk about how energy bills will likely change over the course of 2023.

He said the energy bills are “likely” to remain high for at least the next six months due to the impact of geopolitical factors.

Wholesale prices for energy have recently decreased although this change will take some time to be passed onto consumers as suppliers buy energy in advance to ensure they can cope with demand.

Figures from Cornwall Insight suggest energy bills for a typical household could fall below the Government’s Energy Price Guarantee from around July.

According to the group’s analysis, electricity default tariff cap costs are expected to fall from April 2023’s forecasted £1,725.51 to £1,243.91 a year, while gas is expected to drop from £1,819.80 to £1,556.26 a year, meaning average bills will fall to £2,800.16 a year from July to September, below the £3,000 set by the Energy Price Guarantee.

Mr Roberts said: “It is also difficult to predict when energy bills will fall below the Energy Price Guarantee within the next six months.

“If energy bills do fall below the Energy Price Guarantee, the government may then, once again, consider changing the policy.”

The financial expert warned Britons still face a difficult year with the rising cost of living even if energy bills decrease.

He said: “Even if energy bills fall, it may not make a substantial difference for consumers due to the other pressures of the rising cost of living.

“Energy bills are a key mix of the household, representing around 10 percent of typical household income in the UK at the moment.

“The increased inflationary pressure on fuel and other commodities would still apply pressure to the average household’s budget.”

Prices are continuing to increase for everyday essentials, with the rate of inflation currently at 10.5 percent.

People can actively reduce their energy bills by being careful about how they use energy and by investing in better technology and appliances.

Asked what consumers can do to slash their bills, Mr Roberts said: “Use energy-efficient appliances, and be aware of ‘energy leakage’ by which consumers are using inefficient appliances or are leaving devices/switches on when not in use.”

Experts at BOXT calculated a household could save more than £550 a year simply by upgrading to a new A-rated boiler, while not affecting how the family uses the device.

All new and modern boilers have to be A-rated, while older appliances can have an efficiency rating as low as 60 percent, meaning they require much more energy to heat water.

Another simple tip for reducing bills is to turn down thermostats, even by just one degree. Turning down a thermostat from the average temperature of 20C by just one degree can save hundreds of pounds a year on bills.

Another option for consumers looking to save on their bills is to install thermostatic radiator valves to help control the temperature of a room.

The devices can save a household up to £75 a year, according to figures from the Energy Saving Trust.

A smart meter can also help a family save on their bills, as this provides real-term information about how much energy a household is using.

The smart device also automatically provides readings to the supplier, ensuring a household is charged the correct amount.

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