Soaring energy bills could cost you over £2,000 by 2016Rising energy costs could see homes without heating
31 May 2012
Over half of the UK’s households may turn off their heating by 2016 according to a uSwitch survey - could you afford £2,000 per year?
A report warning that the average household energy bill could hit £1,582 by 2015, £2,165 by 2016 and a staggering £2,766 by 2018, has been published.
Looking to reduce your bills? Switching to a cheaper energy tariff can offer significant savings. The Which? Switch service will help you find a more affordable energy provider.
Energy bills of £1,500
The average energy bill has more than doubled in the last eight years, rising from £524 in 2004 to £1,252 today. Based on the price trend in the last eight years, bills could pass the £1,500 milestone in 2015, rising to £1,582.
Which? executive director Richard Lloyd said: 'People have told us that rising energy bills are their biggest financial worry, and it's unacceptable people may be forced to go without heating.
We have offered savings to 200,000 households through The Big Switch but we have long argued for urgent wider reform of the energy market, with more competition and simple tariffs.
One of the biggest ways that people can save money on their bills is through energy efficiency so the Government needs to do more to make energy efficiency more attractive to consumers, not risk pushing up bills like the Green Deal in its current form.'
it's unacceptable [that] people may be forced to go without heating
Which? executive director
Affordable energy bills
Through its survey of over 2,000 people, uSwitch identified £1,500 as the affordability ceiling on energy bills. Over half the people it spoke to identified this price as the point when energy bills become unaffordable - and 59% said they would have to go without adequate heating should their annual bill reach this amount.
If bills rise over £2,000 a year, 55% of the people in the survey said they would turn off their heating completely. The report states this could happen as early as 2016.
Which? recently ran the Big Switch - a reverse auction that challenged energy companies to provide the best deal. Co-Operative Energy was the winner and has offered to take on up to 40,000 new customers at the rate offered.
If you signed up to the Big Switch, the deadline to complete your details and switch provider is tonight at midnight (31st May).
You can also save money on your gas and electricity bills by making your home more energy efficient. The Green Deal is the government’s plan to try and help you make energy saving home improvements.
However, we have major concerns about it. You can learn more about the Green Deal and the changes we want to see to it in the Green Deal section of our Affordable Energy campaign.