Asda Money t/a Asda Financial Services Limited

March 21, 2013 02:00 ET

Will Energy Prices Increase in 2013?

Asda Money reveals that energy prices have almost doubled over the last 7 years, rising from an average annual bill of GBP 765 to a current figure as much as GBP 1,400(1) in some cases.

LEEDS, UNITED KINGDOM--(Marketwire - March 21, 2013) - With a continuing upward trend in the cost of gas and electricity, including recent increases from the 'Big Six' suppliers, Asda Money looks at the likelihood of increases to the cost of energy in 2013.

Government bodies forecast energy price hikes

The government's Office for Budget Responsibility (OBR) has warned that consumers could be hit with bigger than normal increases this year. As much as £70 could be added to the average energy bill if energy prices rose by a further 5%, according to the OBR, sending the average annual bill soaring to around £1,4202.

A report from the Bank of England has also forecasted that the combined impact of rising distribution, development and infrastructure maintenance costs faced by the UK's leading energy suppliers could also act to drive up prices in 2013.

Taking action to save on the cost of energy

With rising energy bills set to burn a considerable hole in consumer's pockets there are a number of ways that consumers can save on their energy costs.

  • Increasing energy efficiency: Implementing energy savings measures such as switching to energy efficient light bulbs, installing double-glazing or using draft excluders to minimise heat loss can all go towards to reducing energy bills.

  • Use an energy monitor: Energy suppliers will often provide customers with energy monitors, enabling them to monitor their energy usage, and identify any areas where they can make cut backs.

  • Switching suppliers: As many as 7,000 homes a day3 switch their energy supplier or tariff in order to get a better deal on their energy costs, saving them up to £331 a year4.

Asda Energy Compare and Save offers consumers the chance to switch and save in around 7 minutes, helping to cut the size of the energy bills5.

Notes to Editors

1. energyhelpline.com estimates

2. http://www.ukpower.co.uk/gas_electricity_news/7439-obr-forecasts-higher-energy-bills-for-uk-energy-consumers

3. energyhelpline.com estimates

4. http://money.asda.com/energy-comparison/

5. http://money.asda.com/energy-comparison/

About Asda Energy Compare & Save

  • Customers can save up to £331* per year
  • All UK suppliers are compared
  • 94% of customers can save**
  • Switching could take as little as 7 minutes+

* At least 10% of customers who used energyhelpline (providers of Asda Energy Compare & Save service) to switch their gas and electricity between 01/01/2011 - 01/03/2012 saved £346 a year or more.

** Based on over 100,000 people comparing their energy with energyhelpline between 29/03/2012 - 11/05/2012.

+ At least 10% of customers who used energyhelpline (providers of Asda Energy Compare & Save service) to switch their gas and electricity between 01/08/2011 - 23/02/2012 took 7 minutes or less to complete the switch application.

Asda Energy Compare & Save is provided by energyhelpline. energyhelpline is a free and impartial independent price comparison service. Fully accredited by Consumer Focus, energyhelpline.com compare all suppliers in the UK to help you find the cheapest energy deal.

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