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Two-Thirds Of Brits Pay Over The Odds For Energy Bills

Aug 10 2016

As many as 21 million households are paying more than they have to for their energy bills, according to recent research from the Competition and Marketing Authority (CMA). 

More people might be inclined to install energy-efficient measures in their property, such as secondary glazing on windows in Bristol, after CMA reported two-thirds of Brits spend too much on their central heating as a result of not switching supplier regularly. 

Ofgem has since committed itself to helping to protect disengaged customers from paying over the odds by introducing a database service that prompts consumers to compare tariffs and encourages suppliers to offer better value deals. 

Dermot Nolan, chief executive of Ofgem, said: “The CMA’s final report is a watershed moment for industry and consumers and points the way to a fairer and more competitive future. I call on energy companies and consumer groups to seize this opportunity.”

Ofgem is also continuing with its Be An Energy Shopper marketing campaign to boost the number of bill payers who shop around for cheaper deals, which it claims could save them as much as £300 per year. 

Despite so many people sticking to their supplier’s tariff instead of switching, Ofgem’s annual review of the retail energy market revealed the proportion of people on variable deals fell from 69 per cent to 66 per cent from March 2015 to 2016. 

To help save money, homeowners could also be more efficient with their energy usage. For instance, the Energy Saving Trust (EST) advises consumers to put their electrical appliances on standby, buy a draught excluder to reduce the amount of heat lost, and install LED energy-saving bulbs. 

According to the EST, having double-glazed windows is also a big money saver, helping to reduce spending for a detached house in England and Wales by up to £160 a year.

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