Latest news with #GregMarsh
Daily Mail
23-05-2025
- Business
- Daily Mail
EXCLUSIVE How much will YOUR energy bill drop this summer? Interactive calculator reveals how gas and electricity bills will fall from July
A new online calculator has revealed how much your energy bill will fall this summer as experts hailed the reduction as a 'glimmer of good news' for households. Ofgem confirmed today that energy bills will drop by 7 per cent from July - impacting the bills of 35million households on a variable rate for their gas and electricity. The typical bill will drop by £129 to £1,720 per year under the new price cap, which sets the limit on how much firms can charge customers per unit of energy. The fall is welcome news to struggling families still battling the cost-of-living crisis after a spike in the rate of inflation, which rose to 3.5 per cent last month. The price cap covering England, Wales and Scotland does not limit total bills because householders still pay for the amount of energy they consume. But households can now get an idea of the amount by which their bills will fall, thanks to a widget from AI household money saving firm Greg Marsh, chief executive and co-founder Nous, said: 'Falling energy prices offer a glimmer of good news to households still struggling with the rising cost of living. 'Unfortunately this isn't enough to counteract the impact of 'Awful April'. 'Our Nous research found a typical household was left £451 worse off as a result of energy, water, council tax, mobile, broadband and entertainment subscriptions all shooting up last month. 'With all of us losing out on such significant sums, it's crucial we don't end up overpaying on our bills. Unfortunately, almost all of us are.' He added that 'staying on top of our contracts takes up valuable time and energy', with many people not realising 'they were paying far more than they needed to'. The July price cap is £660 (28 per cent) lower than at the height of the energy crisis at the start of 2023 when the government implemented the energy price guarantee. However, prices remain elevated with the upcoming level £152 (10 per cent) higher than the same period last year. Ahead of the next rise, the price cap since April is currently set at around £1,849 for a typical household after three consecutive increases in bills. But it is now going to fall after US President Donald Trump 's aggressive tariff plans led to a significant slump in gas and oil prices. Q&A: What is the energy price cap and how does it work? What is the energy price cap? The price cap sets a maximum price that energy suppliers can charge consumers in England, Scotland and Wales for each kilowatt hour (kWh) of energy they use. Regulator Ofgem changes the cap for households every three months, largely based on the cost of energy on wholesale markets. What is the update today? The typical bill will drop by £129 to £1,720 per year when the regulator's 7 per cent drop in the price cap comes into force in July. How does this compare to before? The latest level is £660 (28 per cent) lower than at the height of the energy crisis at the start of 2023 when the government implemented the energy price guarantee. However, prices remain elevated with the upcoming level £152 (10 per cent) higher than the same period last year. How do actual bills vary? The price cap does not limit total bills because householders still pay for the amount of energy they consume. The figures given are just for an average bill. How long has the cap existed? The cap was introduced by the Government in January 2019. What about other bills? Households have endured an 'awful April' of bill rises, including Ofgem's last 6.4 per cent price cap increase. Britons were also hit with the biggest increase to water bills since at least February 1988, alongside steep rises across bills for council tax, mobile and broadband tariffs, as well as road tax. Bill increases have led to Consumer Prices Index (CPI) inflation jumping to 3.5 per cent in April, up from 2.6 per cent in March and the highest since January 2024. Should you move onto a fixed deal? Which? urged households still on a price cap-linked standard tariff to consider moving to a fixed deal. The consumer group recommends looking for deals cheaper than the price cap, not longer than 12 months and without significant exit fees. Those on a fixed deal which will be more expensive than the July price cap are advised to check their exit fees and consider switching if they are on a deal with no charges to leave early. However, the predicted drop is slightly less than the previously forecast 9 per cent fall following an easing of trade tensions in recent weeks. Cornwall Insight said it expects the reduced price cap to be followed by a 'modest drop' this October and another similar dip in January next year. The price cap does not limit total bills because householders still pay for the amount of energy they consume. However, news of a fall in energy costs will come as a relief for households, who suffered through an 'awful April' of bill rises, including Ofgem's last 6.4 per cent price cap increase. Under-pressure households have also been hit with the biggest increase to water bills since at least February 1988, alongside steep rises across bills for council tax, mobile and broadband tariffs, as well as road tax. Bill increases have led to Consumer Prices Index (CPI) inflation jumping to 3.5 per cent in April, up from 2.6 per cent in March and the highest since January 2024. Tim Jarvis, director general of markets at Ofgem, said: 'A fall in the price cap will be welcome news for consumers, and reflects a reduction in the international price of wholesale gas. 'However, we're acutely aware that prices remain high, and some continue to struggle with the cost of energy. 'The first thing I want to remind people is that you don't have to pay the price cap - there are better deals out there so it's important to shop around, and talk to your existing supplier about the best deal they can offer you. 'And changing your payment method to direct debit or smart pay as you go can save you up to £136. 'In the longer term, we need an energy system where prices are insulated from the volatile international gas market, and which ensures more stable prices and energy security. 'And we're working closely with government to get the investment we need to reach our clean power and net zero targets as quickly as possible. 'We're also doing everything we can to support consumers today and pushing ahead with more changes to help consumers. 'This includes working on ways to support those trapped in energy debt and bringing in reforms to standing charge tariffs for this winter.' Ofgem changes the price cap for households every three months, largely based on the cost of energy on wholesale markets. Energy Secretary Ed Miliband said the fall in energy bills from July is welcome but stressed that the Government will continue to work towards clean energy to get off the 'rollercoaster of fossil fuel markets'. 'This fall in energy bills is welcome news for families across the country and will mean that working people keep more of their money in the coming months. 'However, we know that it is only through our mission for clean, homegrown power that we can get off the rollercoaster of fossil fuel markets controlled by dictators and petrostates - and give families and businesses energy security and bring down bills for good. 'As we take back control, we are doing everything we can to support people - from consulting on expanding the £150 warm home discount to around six million households next winter, to upgrading thousands of homes so they are warmer and cost less to heat, to reforming our energy market so consumers are better protected.' The energy price cap was introduced by the Government in January 2019 and sets a maximum price that energy suppliers can charge consumers in England, Scotland and Wales for each kilowatt hour (kWh) of energy they use. Citizens Advice chief executive Clare Moriarty said: 'This drop in energy prices will ease the burden of high bills for some households. 'But the Government must not lose perspective: bills will still be 52 per cent higher than before the energy crisis and nearly seven million people live in households that have fallen behind on bills. 'Today's announcement will be cold comfort to the millions paying off a mountain of debt on top of their monthly costs. Why you should still consider moving off standard tariffs and onto better deals MailOnline's financial expert Simon Lambert, publisher of This is Money, says that although the energy price cap has fallen, households should still consider moving off standard tariffs and onto better deals. He said: 'The energy price cap was designed as a backstop to prevent households who didn't switch energy bills from being hugely overcharged but ended up being a vital protection in the energy crisis, when the ability to find new fixed rate deals vanished. 'However, that's not the case anymore. There are a raft of fixed rate energy gas and electricity deals that are much cheaper than the energy price cap and people should seriously consider switching. 'Not only could you save up to £200 a year on the new price cap, but you will lock in their energy at a lower rate and protect yourself against any potential hikes next autumn and winter.' This is Money's regularly updated round-up of the best fixed energy deals that beat the price cap, can help you compare costs. 'The Government has said it hopes to provide more support to pensioners this winter but we know that people with children are often struggling most of all with energy. 'It must provide more targeted energy bill support to those hardest hit, and upgrade five million homes with money-saving energy efficiency measures.' And Simon Francis, coordinator of the End Fuel Poverty Coalition, said: 'The Government's reverse ferret on Winter Fuel Payments are a clear sign that ministers know that people are struggling with energy bills - but sticking-plaster solutions and U-turns won't help people in the long-term. 'While bills may fall slightly in July, they're still significantly higher than before the energy crisis and remain tied to the unpredictable cost of fossil fuels. 'Without urgent reform and real investment, millions will continue to face unaffordable bills and cold homes.' Which? urged households still on a price cap-linked standard tariff to consider moving to a fixed deal. Natalie Hitchins, Which? home products and services editor, said: 'As a rule of thumb, we'd recommend looking for deals cheaper than the price cap, not longer than 12 months and without significant exit fees. 'If you are on a fixed deal which will be more expensive than the July price cap then it's worth checking your exit fees and considering switching if you are on a deal with no charges to leave early.' Richard Neudegg, director of regulation at Uswitch, said: 'A 7 per cent fall in the price cap from July will reduce the average annual bill by £129 for the millions of customers still sitting on a standard tariff - a welcome break in the clouds in time for summer. 'But the savings from fixed deals are far bigger than this drop. The cheapest fixed deal could save the average household £203 a year compared with the July price cap. 'Millions of homes are already paying cheaper rates than the new July cap, after switching to a fixed deal. 'There are plenty of fixed deals still available that beat both the current and July energy rates. So for households still sitting on a standard tariff linked to the price cap, now is a great moment to lock in fixed savings before the winter gloom returns.'
Daily Mirror
17-05-2025
- Business
- Daily Mirror
Energy bill warning as expert urges households to make £200 check this month
Households still feeling the financial wrath of soaring energy bills and council tax are being urged to complete one simple check that could result in an average refund of £200 Households could claw £100s back on their energy bills this month by making one simple check. While Brits across the nation are still feeling the financial wrath of ' Awful April ' - which saw council tax, energy bills, and even the TV Licence soar - energy firms are holding onto an estimated £3.28 billion in customer credit balances. Research by money-saving experts over at found that 57 per cent of households think their supplier owes them money, but 47 per cent weren't sure exactly what the balance on their account was. Across 2024, the average household credit balance was a staggering £215. But, with a mild winter, it is even more likely that Brits will have built up credit - as their bills will be based on estimates driven by previous years' usage. If you've been paying by Direct Debit, May is the perfect month to see whether you've built up credit, as you'll likely start using less energy as the weather continues to improve. "No one should have a big credit balance built up in their energy account right now," Greg Marsh of said in a statement sent to the Mirror. "Most suppliers won't automatically refund you if you've paid too much, and could be unfairly holding on to money that you're owed. "If you've got a traditional meter and haven't submitted a reading in a while, you'll be paying bills based on estimates that could be significantly out after an unusually mild winter. Energy companies know how hard it is to stay on top of this stuff, and hope that we just put up with paying more than we need to." Get the best deals and tips from Mirror Money WHATSAPP GROUP: Get money news and top deals straight to your phone by joining our Money WhatsApp group here. We also treat our community members to special offers, promotions, and adverts from us and our partners. If you don't like our community, you can check out any time you like. If you're curious, you can read our Privacy Notice. NEWSLETTER: Or sign up to the Mirror's Money newsletter here for all the best advice and shopping deals straight to your inbox. As previously reported, energy firms must follow 'reasonable steps' to make sure that your Direct Debit levels are fair and justifiable. If you're in lots of credit, call your supplier up for an explanation. Energy rules strictly state that suppliers must provide a refund - or explain 'clearly' why they won't - if a customer requests a refund. If they don't, you can make a formal complaint, and if it rejects it, escalate it to the Energy Ombudsman for free, which can adjudicate," Martin Lewis ' MSE states. Each energy firm has slightly different policies when it comes to issuing a refund. For example, EDF Energy requires customers to provide an up-to-date meter reading first, while British Gas says you can ask for a credit refund at any time. You can check your energy firm's policy here. Will my energy bill start to fall? Following years of spiralling energy costs, the government has finally confirmed its ambitious plans to cut annual costs by £300 by 2030. Through its Great British Energy scheme, Labour has vowed to 'harness clean energy' and have 'less reliance on volatile international energy markets'. It has also pledged more funding for the Boiler Upgrade Scheme, which offers grants to support the transition from fossil fuel heating systems to heat pumps or biomass boilers. As previously reported, this would allow households to receive £7,500 towards an air source heat pump, £7,500 towards a ground source heat pump, or £5,000 towards a biomass boiler - which could knock £100 off annual energy bills.
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Scotsman
14-05-2025
- Business
- Scotsman
Check your energy account credit before firms keep your cash
Energy firms won't refund you automatically — and your bill could be way off 📉 Sign up to the weekly Cost Of Living newsletter. Saving tips, deals and money hacks. Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Millions of UK households may be overpaying for energy after a mild winter Suppliers are sitting on billions in unused customer credit, Ofgem data shows Most people pay by direct debit, leading to seasonal overpayments urges households to check their account balances this month Many don't submit meter readings regularly, increasing the risk of overpaying Money-saving experts are encouraging households to check their energy account balances before the end of the month – and reclaim any excess credit being held by suppliers. After a mild winter, customers who don't regularly submit meter readings are especially at risk of overpaying. In fact, almost half (48%) of UK households skip monthly readings, and 11% never submit them at all, according to data from Advertisement Hide Ad Advertisement Hide Ad Energy firms were holding on to a staggering £3.3 billion in customer credit last year, according to Ofgem. In 2024, the average household in credit had £215 sitting in their account. Most people pay for energy by direct debit – typically a flat £152 each month. But because energy use is seasonal, this often leads to overpayments in warmer months when usage drops, and credit builds up to cover higher winter bills. (Photo: DANIEL LEAL/AFP via Getty Images) | AFP via Getty Images May is the perfect time to take stock: by now, most households will have used up their winter credit. Nous advises that if your current credit balance is more than two-thirds of your monthly payment, you may be overpaying. It's worth requesting a refund or asking your provider to lower your direct debit. Advertisement Hide Ad Advertisement Hide Ad Greg Marsh, household finance expert and CEO of said: 'No one should have a big credit balance built up in their energy account right now. 'Most suppliers won't automatically refund you if you've paid too much, and could be unfairly holding on to money that you're owed. 'If you've got a traditional meter and haven't submitted a reading in a while, you'll be paying bills based on estimates that could be significantly out after an unusually mild winter. 'Energy companies know how hard it is to stay on top of this stuff, and hope that we just put up with paying more than we need to. Advertisement Hide Ad Advertisement Hide Ad 'That's exactly why we started Nous – to take on the burden of staying on top of things and help people avoid falling victim to these traps.' Greg shares 5 tips on how to save and keep energy firms from hoarding your cash Don't have more than two thirds of your monthly bill in credit in May 'If your credit balance this month is more than two thirds what you pay each month, you should ask for a refund. If you're considerably above that level, your direct debit level is likely to be too high and you should ask your supplier to reduce it.' May is the best time to ask for a refund Advertisement Hide Ad Advertisement Hide Ad 'Most of us build credit in the summer and use it up in the winter when the heating is on. May is the time you should have minimal credit – you'll have used up the balance over the winter and be about to start building it up again.' Submit regular meter readings 'If you don't have a smart meter, make sure you send regular meter readings to your supplier. This means they'll have accurate information about how much energy you use at different times of the year. 'Failing to do so means your supplier will estimate your usage, which could leave you in too much credit – or in debt.' Make sure your smart meter isn't in dumb mode 'Millions of smart meters in Britain aren't working, meaning people are being charged based on estimated usage. This can lead to overpaying by hundreds. Advertisement Hide Ad Advertisement Hide Ad 'If readings on your bill are marked 'e', they're estimates and could be wrong. You should submit regular manual readings if this is happening.' Don't ditch the direct debit 'If you think your direct debit is too high don't ditch it entirely – it's the cheapest way to pay for energy. Customers who pay by standard credit – cash or cheque – currently pay around £100 per year more than direct debit customers.'
