Many homeowners are not aware they can switch utility providers in order to reduce energy bills. Gas and electricity bills have increased by 22% this year and over 5 million households now face debt problems, leaving them unable to pay their fuel bills.
Millions of people fail to claim for help with heating costs, while many more could switch providers and pay less. Ten ways to reduce your energy bills include:
1. A free energy audit
The Energy Saving Trust (EST) can provide a free energy audit and you can complete an online home energy check on www.energysavingtrust.org.uk. The EST will explain how much energy and money you can save and how, ultimately you can reduce fuel bills.
2. Heating insulation grants
If you receive tax credits or benefits, particularly if you are over 60, or have children under 16, you could be eligible for a grant of up to £2,700 for heating and insulation. Check if you are eligible at www.warmfront.co.uk.
3. Home energy saving programme
The home energy saving programme could help you improve your home to make it more energy efficient. Check if you are eligible by calling 0800 512012. The Government announced that £560 million has been set aside towards subsidising improvements to reduce fuel costs.
4. Switch to save fuel
Compare the different prices of fuel suppliers in your area as you could find a better deal elsewhere. You can save more than £325 a year by moving to a more competitive deal. Check out the comparison sites to find the best deal to suit you.
5. Regular meter readings
Most gas and electricity bills are based on estimated readings so you could be paying much more than you need to. Call your supplier regularly to provide meter readings, every month if possible to make sure you are not paying over the odds.
6. Cheaper payment methods
Settling bills by monthly direct debit works out much cheaper than receiving them quarterly. The cheapest deals are online tariffs, where customers manage their accounts and submit meter readings, which can be done via your provider´s website. Deals from companies offering gas and electricity can work out cheaper.
7. Appliances and light bulbs
Using energy saving lightbulbs can save you up to £50 a year. Never leave appliances on standby, and when you replace an electrical appliance, look for the energy saving recommended logo.
8. Keep the heat in
Always close your curtains at dusk and use draft excluders at the bottom of doors. Turn down your thermostat by one degree and you will save up to £70 annually. Insulate hot water tanks and pipes and make sure hot water cylinder jackets are at least 75mm thick.
9. Winter fuel payment
Make sure you claim winter fuel payment if you are entitled to it. Payments are made to any household member over 60 on or before September 26th. If more than one person in the household qualifies, the amount is still £250 but if one or more occupants is over 80, the payment increases to £400.
10. A social tariff
If you are struggling to pay your fuel bills, call your supplier to find out whether you qualify for a social tariff which can reduce bills by 20%.
Ideally suited to debts of less than £5k with some disposable income available. Learn how to consolidate your situation and reduce your monthly payments by learning to negotiate with your creditors directly.
Designed for debts of up to £15k where creditor pressure is becoming too much to handle and you may have failed to agree to an overall acceptable monthly payment with your creditors directly.
Minimum total Debt of £15k to qualify for an IVA. Typically you can write off up to 75% of your debts and repay the balance over 5 years. This is a formal arrangement and failure to maintain it can have serious implications
If you have been refused an IVA or simply do not have any disposable income to come to an arrangement with your creditors Bankruptcy may well be your best option but professional help and advice is strongly recommended before entering into any formal arrangements.