British Gas to hike prices by 9.2% on 23rd November with 7.8 million affected. Many will feel betrayed says uSwitch.

17th October 2013

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British Gas is raise prices by 9.2% from 23rd November with 7.8million customers affected. The average bill will rise to £1,471.14. Analysis from Moneysupermarket.com shows that prices have increased by £231 since November 2012.

Tom Lyon, energy expert at uSwitch.com, says: “Today’s price hike will be seen by many as a broken promise after the supplier suggested in May that it would use the extra profits it made last winter to hold off from any price hikes. British Gas customers have had the rug pulled from under their feet and I suspect that many will be feeling let down and betrayed. Adding a further £125 to an already sky-high energy bill will leave many buckling, but the real damage will be to trust.

“Now that Britain’s two biggest suppliers have announced there is nothing to stop the others from following suit. The question now is whether it will be a trickle or a stampede. However, the fact is that households will be struggling to afford to keep warm this winter.”

Clare Francis, editor-in-chief at MoneySuperMarket.com said: “It was only a matter of time before British Gas dealt the blow to its customers and announced price increases. The UK’s biggest energy company had warned that prices would have to rise but the news that 7.8 million customers will see their bills jump by £148 from 23rd November just as temperatures are plummeting will be a bitter pill for them to swallow.

“And it won’t stop there. We can expect the other four major providers – EDF, e.on, npower and Scottish Power – to also announce price hikes over the coming weeks. But the good news is there are things people can do to beat the price hikes and encouragingly the early signs are that many of them are taking action.

The price comparison site says it has seen a 1,090 per cent increase in visitors to our energy channel after SSE’s price increase announcement prompted people to switch to a better deal.

Rival comparison site Gocompare says the highest increases will be felt by Scottish Hydro (11.2%), London (10.6%), Yorkshire (10.5%) and the North West (10%).

The increase comes after weeks of speculation among experts in the industry and takes place as temperatures are just beginning to drop, at a time when many households are concerned about how they will afford to heat their homes this winter.

Francis adds: “If you haven’t switched already, it’s not too late. It takes just five minutes to compare energy deals and all you need is to be armed with your latest bill, once you have chosen a new tariff the energy company will take care of the rest.

“Fixing your energy bills will protect you from price rises in the future, with many providers promising to fix your prices for the next four winters. EDF Energy Blue+ Price Freeeeze for example, guarantees your prices until March 2017. With an average bill of £1,340 it will be £131 cheaper than the average standard bill from British Gas once the price rise takes effect.

“Help someone who isn’t online as well, such as an elderly relative, to ensure they will benefit from any savings too as many older bill payers will consume a higher amount of energy than most, leaving them the hardest hit this winter.

“Households can take further steps to keep their energy prices down, simple changes such as doing washing at 30 degrees and turning appliances off opposed to leaving them on standby, can result in some significant savings over the year. Keeping your supplier up to date with regular meter readings can also ensure that you receive an accurate bill for the energy you have consumed.”

Money Supermarket’s top five energy deals

Top 5 Energy Deals
Provider Tariff name Tariff Type Average price
Spark Spark Advance 2 Variable £1,116.41
First Utility iSave v16 Variable £1,155.47
First Utility iSave Fixed v9 April 2015 Fixed £1,170.48
Sainsbury’s Energy Online October 2014 Variable £1,172.15
Scottish Power Online Fixed Price Energy March 2015 Fixed £1,181.14
Sourced by www.moneysupermarket.com 16.10.2013
Top 5 ‘Big Six’ Energy Deals
Provider Tariff name Tariff Type Average price
Scottish Power Online Fixed Price Energy March 2015 Fixed £1,181.14
npower Online Price Fix November 2014 Fixed £1,182.03
EDF Energy Blue+ Price Promise March 2015 Fixed £1,183.04
npower Price Fix April 2015 Fixed £1,202.31
Scottish Power Online Fixed Price Energy December 2014 Fixed £1,204.51
Sourced by www.moneysupermarket.com 16.10.2013
Top 5 Long Term Fixed Energy Deals by duration
Provider Tariff name Tariff Type Average price
EDF Energy Blue +Price Freeeeze March 2017 Fixed £1,339.70
npower Price Protector March 2017 Fixed £1,341.36
Scottish Power Help Beat Breast Cancer Fixed Price January 2017 Fixed £1,339.72
First Utility iSave Fixed v10 January 2016 Fixed £1,274.06
Scottish Power Platinum Fixed Energy October 2015 Fixed £1,378.38
Sourced by www.moneysupermarket.com 16.10.2013

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