Energy bills are going up - here's what you can do about it

Energy prices have risen by roughly 4%, with analysts projecting a significantly larger increase in January. The regulator Ofgem’s price cap affects about 20 million households across England, Scotland and Wales, establishing a maximum charge for each unit of gas and electricity. Forecasters indicate a 16% rise could be possible in January, driven by high wholesale prices paid by suppliers as a result of the Middle East conflict. While consumers cannot control those market moves, charities urge the government to provide further assistance—beyond the VAT cut on energy bills that takes effect on Thursday—and advise households to prepare for winter again. That preparation includes taking a meter reading now and adopting other measures to keep a check on rising bills. Keeping yourself lukewarm by wearing heavy clothes, utilizing blankets and having blistery drinks tin assistance trim heating bills 1. Consider switching to a fixed rate Ofgem recommends that customers consider fixing their rates so the price per unit of gas or electricity does not change every three months, although the total bill will still vary with usage. The challenge is determining whether a fixed deal is genuinely advantageous at present. Should energy prices spike sharply, those who have already fixed enjoy certainty over what they will pay per unit; that rate may even fall below the forecast January level. Conversely, if tensions in the Gulf ease and a deal in the Iran conflict lowers global gas prices, a longer‑term fixed contract might not look as attractive compared with the price cap. Consumer group Which? also advises watching for exit fees when selecting a fixed deal. If variable rates drop beneath your fixed charge and you wish to leave before the contract ends, you may face a substantial penalty. Before fixing, MoneySavingExpert suggests examining every available offer, not only those from your current supplier. Changing habits erstwhile utilizing household appliances tin besides help, for illustration reducing washing instrumentality temperatures Ofgem notes that roughly 5 million households still settle their bill when it arrives every three months, often because they prefer not to let the supplier estimate usage for fear of overcharge. Taking regular meter readings—or installing a smart meter—and paying by monthly direct debit resolves that issue. Moreover, direct debit usually costs less per unit than standard credit. You will typically need to switch to direct debit to benefit from the fixed deals on offer, although this is not an absolute requirement. Customers on prepayment plans—usually those on low incomes who struggle to pay bills—previously paid a higher rate than others, but now they pay slightly less than the capped direct‑debit variable rate. A variety of pricing schemes also provide cheaper off‑peak electricity, for example for charging an electric car overnight. 2. Check what financial support you can get Several avenues exist for low‑income households to access assistance. This winter anyone receiving means‑tested benefits will receive £150 off their energy bill. Suppliers apply the discount automatically, except in Scotland where customers must contact their energy provider to request the help. Some households may also qualify for a Cold Weather Payment, and nearly all pensioners will receive the winter fuel payment after government pressure forced a U‑turn on plans to limit it to the poorest retirees. Beyond that, most energy suppliers offer hardship grants to those struggling to pay bills, and the government’s Fuel Direct Scheme can help repay energy debt. Further advice is available from Ofgem, Citizens Advice, or your own supplier. Trade body Energy UK maintains a directory of support schemes. People on low incomes may also be eligible for grants to assist with home insulation, and local programmes sometimes provide funding for solar panels, heat pumps and similar measures. When seeking grants, watch out for scams that pose as legitimate money‑off offers. 3. Take another look at your energy use Once outdoor temperatures begin to fall again, staying warm is essential, particularly for the very young, elderly, and those with health conditions or limited mobility. Nevertheless, plenty of methods exist to keep bills low without allowing indoor temperature to drop below the recommended 18 °C minimum. You may already have hung thicker curtains and blocked drafts over the