Earlier this week, it was reported that energy prices could potentially rise within the month, threatening to hit consumers hard.
While most of us enjoyed a fairly mellow winter, energy suppliers faced a fall in profits thanks to the mild weather. This was also worsened by the fact many people have been savvy enough to compare gas and electric prices, switching to cheaper deals with smaller firms, rather than sticking to the 'Big 6'.
£130 Could Be Added to Average Energy Bill...
Whilst some people have managed to save money by comparing gas and electric prices and then switching, the knock on effect of this is likely to be higher prices for those left behind. To make up for these loses, experts speculate that their could be a rise of between five and ten per cent for energy prices. In the worst case scenario, this could lead to a whopping £130 being added to the average dual fuel bill per year, bringing it up to £1,450 for the average household.
The Big Six had previously announced a rise in prices in the autumn of 2013, and while this was met with complaint from customers it seems likely that they're preparing to do so again. While many people are taking the initiative to compare suppliers and switch, many more are staying where they are, and with such a monopoly of the energy market it seems that the Big 6 are unlikely to sway to popular opinion.
Increases Likely To Be Felt During Winter...
While any price rises may not be apparent initially during the remaining warm summer months and into the start of autumn, this could pose a serious problem should this winter be a severe one. Naturally, energy usage is reliant on the weather, and it's once the cold sets in that energy price rises hit us hard.
There's still time to compare gas and electric suppliers, however, and it could be that you could save a substantial amount by switching to another firm. At Love Energy Savings we scour the market for you to find the best deals, making it easier than ever to save money on your energy bills.
If you want to learn more about how you can save money on your electricity bills, you can head to the Love Energy Savings Help Centre which contains a wealth of energy guides.