Go.Compare comments on Ofgem’s April price cap announcement
Gareth Kloet, Go.Compare’s energy spokesperson, comments on Ofgem’s announcement of the April energy price cap:
“While it is reassuring to see the energy price cap drop to £3280, this does not mean households will be paying less for their energy – in fact, from April 1st, they face a potential 20% increase due to the rise in the government’s Energy Price Guarantee (EPG). The EPG was introduced in April last year to limit the amount suppliers can charge per unit of energy used and protect bill payers. Currently set at £2,500, the EPG is shielding households from high energy prices – but this protection is set to get weaker.
“In April, it is anticipated the government will increase the Energy Price Guarantee (EPG) from £2,500 to £3,000. This £500 increase is a real blow for householders, meaning bill payers face a worrying 20% increase in their energy bills, at a time when many are already struggling to pay.
“With longer days and warmer weather on the horizon, we will naturally use less energy – as we turn on lights later and don’t need to use the heating as often – but this does not negate the fact we are paying too much for energy and this situation is untenable. We would urge the government to offer more support until the cost of energy becomes more affordable, and to invest in the UK’s energy production to provide long-term stability.
“While energy-saving measures at home are not a solution, we do have some money saving tips for householders:
- Remember to take a meter reading on 31st March, before the new EPG comes into effect, to ensure you are taking full advantage of the current lower rate.
- Submit meter readings to your supplier regularly, so you are aware of how much you are spending.
- If you can, increase your monthly payments slightly so April’s price rise comes as less of a shock. Any credit you build up will help towards the higher bills.
- Try to be as energy efficient as possible, only using what you need. Turn appliances completely off rather than on standby, wash clothes on a cool cycle, and switch to LED lights which cost less to run.”
Find further tips and guidance on how to save energy, here: https://www.gocompare.com/gas-and-electricity/guide/energy-saving-tips/.
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Notes to editors
Go.Compare is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.
It does not charge people to use its services and does not accept advertising or sponsored listings, so all product comparisons are unbiased. Go.Compare makes its money through fees paid by the providers of products that appear on its various comparison services when a customer buys through the site.
When it launched in 2006, it was the first comparison site to focus on displaying policy details rather than just listing prices, with the aim of helping people to make better-informed decisions when buying their insurance. It is this approach to comparing products that secured the company an invitation to join the British Insurance Brokers’ Association (BIBA) in 2008, and it is still the only comparison site to be a member of this organisation.
Go.Compare has remained dedicated to helping people choose the most appropriate products rather than just the cheapest and works with Defaqto, the independent financial researcher, to integrate additional policy information into a number of its insurance comparison services. This allows people to compare up to an extra 30 features of cover.
Go.Compare is part of Future Plc and is authorised and regulated by the Financial Conduct Authority (FCA).
More information can be found here www.gocompare.com or here https://www.futureplc.com/brands/.