Latest news with #JonathanBrearley
Daily Mirror
7 days ago
- Business
- Daily Mirror
Energy bill hikes to hit hundreds of thousands of households if they don't act
In a letter to Ofgem chief executive Jonathan Brearley, Andrew Bartlett, chief executive of Advice Direct Scotland, warned that many households are still unaware of what will happen if their RTS meter is not replaced Hundreds of thousands of households potentially face major energy bill hikes unless they take action now. According to the latest figures, over 300,000 homes still have Radio Teleswitch Service (RTS) meters. This service charges households with linked electricity meters cheaper rates depending on the time of day. The devices, such as Economy 7 and other multi-rate energy tariffs, pick up the different energy rates through the RTS signal. Some RTS electricity meters can also automatically turn heating and hot water systems on and off during certain hours. However, the signal is set to be shut off from June 30 this year as the technology which produces the signal can no longer be maintained. Homes with these meters need to upgrade to a smart meter before the switch-off, as their meter will no longer function as intended after the deadline Some meters could become disconnected, but depending on when the RTS signal dies, some could also be left jammed on peak-time electricity rates. This could lead to huge bill hikes for households affected by the switch-off. Energy suppliers across the board have warned customers of the upcoming switch off over the last few years with many households being put onto a smart meter. However, Ofgem was forced to step in last year as suppliers had been initially slow at switching people over. Scotland 's national advice service has recently warned of a 'looming crisis' as thousands of homes have still not had the meters replaced, with "vulnerable" households among those at risk of being 'left in the cold'. In a letter to Ofgem chief executive Jonathan Brearley, Andrew Bartlett, chief executive of Advice Direct Scotland, warned that many households are still unaware of what will happen if their RTS meter is not replaced. He also called on energy suppliers to identify and prioritise vulnerable customers for meter upgrades. He wrote: 'With less than a month to go until the RTS signal starts being switched off across the country, it is increasingly clear that progress on replacing them has not been fast enough. 'Ofgem needs to urgently clarify if it intends to stick to the June 30 deadline and if a phased approach is being taken, which parts of Scotland will be affected first." Join Money Saving Club's specialist topics For all you savvy savers and bargain hunters out there, there's a golden opportunity to stretch your pounds further. The Money Saving Club newsletter, a favourite among thousands who thrive on catching the best deals, is stepping up its game. Simply follow the link and select one or more of the following topics to get all the latest deals and advice on: Travel; Property; Pets, family and home; Personal finance; Shopping and discounts; Utilities. Ofgem recently released an advert featuring Lorraine Kelly to warn households about the switch-off. In the ads, the Scottish TV presenter urges people to contact their supplier, with the tagline adding: 'Don't delay. The RTS switch-off is on the way.' However, Bartlett also noted that there was a lot of confusion regarding the switch off, as some customers have been told they cannot have their meter replaced until after June 30. He added: 'At a time when thousands of people are struggling with energy debts and the cost of living, nobody should be left out of pocket for replacing their meter either. Sign up to Mirror Money's newsletter for the latest advice and news From universal credit to furlough, employment rights, travel updates and emergency financial aid - we've got all of the big financial stories you need to know about right now. 'Our message to consumers is that if you know someone with an RTS meter, especially if they are vulnerable, encourage them to get it replaced before the deadline if they can.' Although the advertised date is June 30, the process will happen by area from July 1 through to September 30. According to the latest figures from Energy UK, in April, 392,000 households in Great Britain still had RTS meters. Currently, energy suppliers are switching around 1,000 old RTS meters each day. However, to ensure that all the remaining homes with them are covered by the deadline, this number would need to rise to 5,000. A spokesperson for Energy UK recently said: 'It will undoubtedly be challenging to replace all these meters by 30 June,' "It means getting access to every single property to carry out the installation, many of which are in remote areas, and ultimately it requires all customers to respond to contact from their supplier.' "We urge any customers who may have previously struggled to get their RTS meter replaced to please contact their supplier again to arrange an appointment." "Ofgem has also demanded action plans from every supplier, which we are scrutinising on an ongoing basis to ensure that robust contingencies are in place to protect any customers who remain on RTS meters after the phased switch-off process begins."
Times
11-05-2025
- Business
- Times
Energy bills based on income? Don't be ridiculous
'Progressive' and 'energy bills' are not terms that you expect to see together, but last week Jonathan Brearley, the chief executive of the energy regulator Ofgem, said it would be looking at energy bills this summer to see if they could be linked to income. The proposals could mean that high-income households end up with higher energy bills, while those who are not in work or are on low pay are charged less. It is the standing charge element of the energy bill that would rise as your income increases — not dissimilar to income tax. The standing charge is the daily price you pay for being connected to the energy supply and you pay it regardless of how much you use: it is capped
Yahoo
16-04-2025
- Business
- Yahoo
Investment in UK Clean Energy Industries Accelerates
Grid connections for businesses delivering clean energy are to be prioritised, ministers have said. The government has said so-called 'zombie projects' which hold up the queue for National Grid connectivity are set to be axed from the waiting list. While industries including data centres and AI, wind energy and solar projects will be accelerated for grid connections, under plans by the Department for Energy Security and Net Zero (DESNZ), aimed at addressing the issue of firms waiting up to 15 years for connectivity. The move comes after some £43.7bn of private investment has been announced into the UK's clean energy industries since July, the department said, while the grid connection queue has grown tenfold in the last five years. It comes amid wider questions about the costs of energy, and uncertainty over the UK's industrial future, as the government battles to keep the British Steel furnaces at Scunthorpe going. Ofgem is expected to confirm the ambitious new plan later today [Tuesday], which is drafted by the National Energy System Operator (NESO) in partnership with the energy industry, DESNZ added. Energy secretary Ed Miliband said: 'Too many companies are facing gridlock because they cannot get the clean energy they need to drive growth and create jobs. 'These changes will axe 'zombie' projects and cut the time it takes to get high growth firms online while also fast-tracking connections for companies delivering homegrown power.' He added: 'In an uncertain world, our message to the global clean energy industry is clear… if you want certainty, stability and security when it comes to investments, choose Britain.' Projects which are not ready or not aligned with strategic plans will be deprioritised, DESNZ said, as they argued lack of access to grid connections has been a significant factor holding back new investment in UK industries, including artificial intelligence (AI). And the department said that the changes would save some £5bn on unnecessary grid connections, which would have been funded via charges on customers' energy bills. Jonathan Brearley, CEO of Ofgem, said the 'proposed connection reforms will supercharge Great Britain's clean power ambitions with a more targeted approach'. He said the changes would 'cut through red tape, consign 'zombie projects' to the past and accelerate homegrown renewable power and energy storage connections'. While Kayte O'Neill, chief operating officer at NESO said grid reforms were a 'key enabler' and 'will drive economic growth', with the focus on 'prioritising agreements for projects that are critical and shovel ready… giving developers the certainty they need'. Sam Richards, CEO of pro-growth campaigners Britain Remade, said: 'Any steps to speed up the time it takes for infrastructure projects to secure a grid connection are welcome news. 'It's ridiculous that projects which will never get off the ground are allowed to squat in the grid queue year after year, simply by paying a few thousand pounds, while much needed new energy sources and growth-driving AI data centres are forced to wait years. He added: 'Ministers prioritising economy-boosting and clean energy-producing projects in the grid connection queue is an important first step. 'But the government can't run the queue forever and should look at introducing more market mechanisms to allow priority projects to bid to move up the line.' By City AM More Top Reads From this article on
Yahoo
02-04-2025
- Business
- Yahoo
Experts share how you can still beat ‘awful April' bill spikes
Bills went up across the board for households in the UK at the beginning of April. Water, energy, council tax and more are now all demanding higher costs, as increases in wages struggle to keep up for many. It looks set to be a challenging year for households nationwide, as the sudden impact of fresh rises will be felt by millions. The exact amount that bill payers can expect to see costs increase by will depend on things like their area, size of their household, and how often they use certain utilities. However, there are some immediate ways to soften the blow of rising bills, often in just a few easy steps. Here's what you need to know: The annual household energy bill now sits at £1,849 for the average household under Ofgem's energy price cap. The figure rose by 6.4 per cent on 1 April from £1,738 – an increase of £111 a year. This marked the third consecutive rise in gas and electricity costs, with the average cost of energy now up nearly £300 since September. Experts at the respected Cornwall Insight research group predict it will finally fall again in July by just over £100. However, an uncertain global and economic picture means any early prediction is liable to change. The most highly recommended way to combat rising energy bills is to consider switching to a fixed tariff deal, which will lock the cost of your energy in at a certain price for a period usually set between 12 and 18 months. Several popular firms are currently offering a fixed deal far below the price cap. 'Next' deal comes in at 12.4 per cent lower than the current price cap for 14 months. Meanwhile, EDF offers a fix at 12.2 per cent less for 16 months, and with no £50 exit fee for early termination. Even Ofgem CEO Jonathan Brearley advised households to consider making a switch to a fixed deal in the face of what he called an 'unwelcome' spike. His comments echoed calls long made by money expert Martin Lewis, who offers a comparison service on his Money Saving Expert website. The average water bill rose by an annual average of £123 on 1 April following regulator Ofwat's price review. However, this greatly varies depending on a household's region, which dictates its water provider. An annual Southern Water bill will jump from £224 to £703, for example, while Anglian Water customers will pay £99 more at £626. This marks the first stage of a 36 per cent increase in bills over the next five years. Ofwat said the increase would pay for a £104 billion upgrade of the water sector to deliver 'substantial, lasting, improvements for customers and the environment'. Because bill payers cannot select their water providers like they can with gas and electricity, it is harder to lower water bills. However, many experts say it is worth installing a water meter in your home to ensure accurate billing. Kevin Mountford, savings expert and co-founder of Raisin UK, said: 'A useful rule of thumb is that it's often cost-effective if the number of people in your home is fewer than the number of bedrooms. Installing one of these devices could save you around £100, according to the Consumer Council for Water. 'Additionally, the WaterSure scheme caps bills for households with high essential water use, such as those with medical needs or large families. Check with your provider to see if you qualify.' Where possible, reducing water usage will also always result in lower bills. Council tax rose by £108 on average in April after Labour confirmed bills will be allowed to increase again by a maximum of 4.99 per cent. Many local authorities have opted to raise council tax by this maximum in 2025, as 95 per cent of eligible councils did the year before. This means the occupier of average band D property will now need to pay £2,280 in council tax for 2025. Council tax is charged based on the band that your property is in, but there is a possible way to change this. Households in lower bands will pay less in council tax, so it might be worth asking the council to revaluate your property and find out if it is in a lower band than when it was last assessed. For many, this will have been in 1991, when the banding system was introduced. Many campaigners have called out this system as being in dire need of an update. Around 40,000 people challenged the council tax band of their property in 2024, data recently obtained by The i shows, with 1,000 of these securing a lower level. Households need to be aware though that a revaluation could also result in the property being placed into a higher band. There are also several discounts and exemptions that bill payers should be aware of. There is the single person discount, which cuts 25 per cent off the bill for a solo occupier, and student-only households should not be paying any council tax. Councils also offer a council tax reduction for households that qualify on grounds like low-income or disability, so it's worth enquiring with your local authority. TV licence fees went up by £5 in April, meaning the cost of a standard colour licence went from £169.50 to £174.50. For those who want to watch or record live TV or use BBC iPlayer, this fee is unavoidable and not paying it is a criminal offence, which usually carries a hefty fine. However, a TV licence is not required for those who want to watch non-live television on streaming services like Netflix, Amazon Prime, or Disney+. Any household with a member aged 75 or over and in receipt of pension credit can also apply for a free licence.
The Independent
02-04-2025
- Business
- The Independent
Experts share how you can still beat ‘awful April' bill spikes
Bills went up across the board for households in the UK at the beginning of April. Water, energy, council tax and more are now all demanding higher costs, as increases in wages struggle to keep up for many. It looks set to be a challenging year for households nationwide, as the sudden impact of fresh rises will be felt by millions. The exact amount that bill payers can expect to see costs increase by will depend on things like their area, size of their household, and how often they use certain utilities. However, there are some immediate ways to soften the blow of rising bills, often in just a few easy steps. Here's what you need to know: Energy bills The annual household energy bill now sits at £1,849 for the average household under Ofgem's energy price cap. The figure rose by 6.4 per cent on 1 April from £1,738 – an increase of £111 a year. This marked the third consecutive rise in gas and electricity costs, with the average cost of energy now up nearly £300 since September. Experts at the respected Cornwall Insight research group predict it will finally fall again in July by just over £100. However, an uncertain global and economic picture means any early prediction is liable to change. How to lower energy bills The most highly recommended way to combat rising energy bills is to consider switching to a fixed tariff deal, which will lock the cost of your energy in at a certain price for a period usually set between 12 and 18 months. Several popular firms are currently offering a fixed deal far below the price cap. 'Next' deal comes in at 12.4 per cent lower than the current price cap for 14 months. Meanwhile, EDF offers a fix at 12.2 per cent less for 16 months, and with no £50 exit fee for early termination. Even Ofgem CEO Jonathan Brearley advised households to consider making a switch to a fixed deal in the face of what he called an 'unwelcome' spike. His comments echoed calls long made by money expert Martin Lewis, who offers a comparison service on his Money Saving Expert website. Water bills The average water bill rose by an annual average of £123 on 1 April following regulator Ofwat's price review. However, this greatly varies depending on a household's region, which dictates its water provider. An annual Southern Water bill will jump from £224 to £703, for example, while Anglian Water customers will pay £99 more at £626. This marks the first stage of a 36 per cent increase in bills over the next five years. Ofwat said the increase would pay for a £104 billion upgrade of the water sector to deliver 'substantial, lasting, improvements for customers and the environment'. How to lower water bills Because bill payers cannot select their water providers like they can with gas and electricity, it is harder to lower water bills. However, many experts say it is worth installing a water meter in your home to ensure accurate billing. Kevin Mountford, savings expert and co-founder of Raisin UK, said: 'A useful rule of thumb is that it's often cost-effective if the number of people in your home is fewer than the number of bedrooms. Installing one of these devices could save you around £100, according to the Consumer Council for Water. 'Additionally, the WaterSure scheme caps bills for households with high essential water use, such as those with medical needs or large families. Check with your provider to see if you qualify.' Where possible, reducing water usage will also always result in lower bills. Council tax Council tax rose by £108 on average in April after Labour confirmed bills will be allowed to increase again by a maximum of 4.99 per cent. Many local authorities have opted to raise council tax by this maximum in 2025, as 95 per cent of eligible councils did the year before. This means the occupier of average band D property will now need to pay £2,280 in council tax for 2025. How to lower a council tax bill Council tax is charged based on the band that your property is in, but there is a possible way to change this. Households in lower bands will pay less in council tax, so it might be worth asking the council to revaluate your property and find out if it is in a lower band than when it was last assessed. For many, this will have been in 1991, when the banding system was introduced. Many campaigners have called out this system as being in dire need of an update. Around 40,000 people challenged the council tax band of their property in 2024, data recently obtained by The i shows, with 1,000 of these securing a lower level. Households need to be aware though that a revaluation could also result in the property being placed into a higher band. There are also several discounts and exemptions that bill payers should be aware of. There is the single person discount, which cuts 25 per cent off the bill for a solo occupier, and student-only households should not be paying any council tax. Councils also offer a council tax reduction for households that qualify on grounds like low-income or disability, so it's worth enquiring with your local authority. TV licence TV licence fees went up by £5 in April, meaning the cost of a standard colour licence went from £169.50 to £174.50. For those who want to watch or record live TV or use BBC iPlayer, this fee is unavoidable and not paying it is a criminal offence, which usually carries a hefty fine. However, a TV licence is not required for those who want to watch non-live television on streaming services like Netflix, Amazon Prime, or Disney+. Any household with a member aged 75 or over and in receipt of pension credit can also apply for a free licence.
