UK Energy Price Cap Estimate Exceeds £4000

What Is The UK Energy Price Cap?

The energy price cap is set by Ofgem (Office of Gas and Electricity Markets), and is defined as - the maximum amount a utility company is permitted to charge a customer in Great Britain per year for the amount of electricity and gas they use on default, or standard variable tariffs.

UK Energy Price Cap Rise

The UK energy cap estimate has recently exceeded £4000 for the first time, meaning that utility companies will be within their rights to charge up to £4200 per year for home energy use once the new rates are introduced.

This news has been understandably ill-received by consumers, as the current energy price cap is already set at a record £1971 and is expected to double in the Autumn.

Other alterations to the UK energy price cap is the fact it will now be subject to review and change every 3 months, instead of every 6 months.

With the uncertainty and high prices being driven by the ongoing energy crisis, and the fact winter is the season in which the most energy per home is consumed, experts are predicting many homeowners will feel further financial strain.

The whole basis for the introduction of a standard and accepted energy price cap in the UK was to negate potential fuel poverty and protect consumers from the eventuality of massive bill hikes.

So the fact that this insulatory initiative price barrier has risen to such a high price is now counterproductive, as many homes will struggle to meet the new tariff costs.

How Can A New Boiler Help?

Naturally, the newer a central heating system, the more efficient it is due to engineering and design progression. Outdated or failing systems could be the reason for your shock when seeing your monthly energy bills. 

Most UK boilers are running at 80% energy efficiency with some antiquated models operating at 60% or less! These sub optimal levels of output are as avoidable as they are shocking.

The direct correlation between a boiler’s age and its efficiency is clear to see in the newer systems’ ErP, so it may be worth upgrading your model to an energy efficient boiler. check out our handy guide on the most energy efficient boilers.

Here is a guide on how much each property type could save when upgrading to a new home heating system, (as per the Energy Savings Trust):

Other Tips To Reduce Your Energy Bills

If it's not quite the right time to purchase a new modern boiler, or you recently have done, here are some more shrewd energy saving tips - 

Learn To Control Your Central Heating

Learning how to control your heating system’s settings to deliver optimum temperature in accordance to your lifestyle can also save you lots of money on your bills.

The Centre for Sustainable Energy recommends programming your boiler to turn the heating on 30 minutes before you wake up in the morning but at a lower temperature.

Insulate Your Home

Insulate your home to reduce heat loss through your walls and loft. Almost a third of heat lost in uninsulated homes escapes through the loft/roof. Although loft insulation isn’t cheap, it can save you lots of money in the long run by £160 a year.

Stop The Draughts

Cushion draught excluders are a cheap way to block draughts whilst accessorising your home and can be bought for as little as a pound. Self-adhesive rubber seals for doors and windows are also relatively cheap and easy to install.

Swapping your single glazed windows to double or triple glazed also reduces heat lost through the glass.

If this is too costly, even closing your curtains at night can help to create a protective layer of insulation, but make sure to open them during the daytime to make the most of the heat from the sun.

Stop Blocking The Radiator

Although having your sofa next to the radiator seems like a great idea, your sofa is in fact absorbing heat that could be warming the rest of the home.

Similarly, letting clothes dry and curtains rest on the radiators is preventing the hot air from circulating freely. Reflective radiator panels are also a cheap way to bounce the heat back off the walls into the room.

Service Your Boiler Regularly

Having your boiler serviced regularly by a Gas Safe registered engineer (such as an iHeat engineer) will ensure it is running efficiently and help to prevent it from breaking down, in turn saving you a potential hefty replacement cost.

Most boiler warranties also become invalid without a regular service, so take care of your boiler and it will take care of you.

Use A Smart Thermostat

A smart thermostat is exactly what it says on the tin, a thermostat that has the capability of connecting your heating system to the internet in order to remotely and efficiently control your property's heating from a phone or laptop.

Need A New Boiler?

If you’ve liked what you've been reading and want an old inefficient boiler replaced, or just fancy an upgrade, get a fixed price, free quote on a wide selection of boilers with gas safe registered installation here at iHeat.

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