Wednesday, February 17, 2010
Category:
Personal Finance Tips
According to moneysupermarket.com, following the coldest winter for 30 years, the average household’s standard tariff winter energy bill has risen by 20 percent in the past 12 months.
This is reportedly equivalent to £104, with a rise from £512 to £616. Therefore, the price comparison site has pointed out that most households will be looking at a bill for the largest sum to-date. It is believed that standard quarterly tariffs are the most costly method of paying for energy; however it has been revealed that more than half of us are still on a standard tariff.
With regard to high winter energy bills, it was discovered that the average household bill has risen from £217 in 2003 to £616 a year, which marks an increase of 183 percent, or £399.
Utilities manager at moneysupermarket.com, Scott Byrom, commented: "Many people will be getting a hefty quarterly statement landing on their doormat at anytime, that's if they haven't already received this nasty surprise. This bill is likely to be the biggest winter energy bill they've ever had to pay. It is therefore extremely important for bill payers to address this issue and do what ever they can to reduce their bills going forward - especially as the cold weather and snow looks set to continue for many parts of the UK.
"Although there were price decreases throughout 2009 the majority of these price moves were to providers' online tariffs rather than to standard tariffs. With the backdrop of recession, a very cold winter and higher than usual energy consumption, people need to think seriously about how they will pay for their usage. The prospect of forking out for a chunky winter bill should be the catalyst to swap to the best tariff for their region and consumption, as well at actively trying to be more energy efficient and reducing the amount of energy they use to save money."
"Our research has shown people use 40 per cent of their annual energy consumption over the winter and with this winter bill at an all-time high, many people will be hit with a chunky bill soon."
An analysis conducted by moneysupermarket.com showed that a customer who is paying an average sum of £1,233 per year, via quarterly cash and cheque, could ‘make a considerable saving by switching’. It was found that moving to the best available online deal, and making direct debit payments, could lead to a saving of £305.
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Homeowners who are looking to reduce their energy bills by means of home improvements could consider taking out a secured loan to fund any work required. One of many finance options available, a
secured loan for home improvements could allow borrowers to embark upon an array of projects in and around their property. For example, heat retention could be improved by thoroughly insulating the property and by replacing any draughty doors or windows. Borrowers could also replace an inefficient boiler with a modern counterpart if desired.
