Energy bills rising for many UK homes despite the summer weather - here's why

energy bills
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In a new report from consumer choice brand Which?, it has been revealed that many UK households are experiencing higher energy bills despite the warmer summer weather.

The report also states how the two main causes have been rising wholesale prices and an increase in consumer energy consumption - stemming from more outdoor entertaining due to lockdown restrictions.

However, Which? has also highlighted how those seeing these more expensive energy bills should look to switch supplier, as there are potentially hundreds of pounds to be saved.

Why wholesale energy prices are rising

The report explains how wholesale prices – which is the cost suppliers incur when buying up power and gas – has gone up significantly since summer 2020. Gas is now 127% higher than last year and electricity is up 49%. What’s more, according to energy regulator Ofgem, prices are still continuing to rise.

It’s believed this is due to the effects of the lockdowns, where more of us worked from home and used more power. This was then exacerbated by the nationwide increased use of heating during the colder weather we experienced in the winter, which then lasted well into late spring.

The larger demand has meant there’s been lower supplies and subsequently more competition to buy gas, causing the prices to jump. Similarly, with electricity, supplies have been hit by several nuclear power stations going offline for maintenance and a drop in the production of wind energy. 

On top of this, energy price rises have also been attributed to ‘increased network and policy costs and suppliers looking to recoup bad debt that customer can’t pay owing to Covid-19’.

Which?’s report went on to explain how outdoor features like hot tubs and patio heaters saw a rise in popularity as we had to entertain ourselves at home during the lockdowns.

However, these have also proven to be big energy consumers with Which? claiming that using a medium-sized electric hot tub three times a week can add between £20 and £30 a month to our bills. Electric patio heaters – typically either 2kWs or 3kWs - could also add upwards of £45 a year to our bills by using them just once a week over a period of four to five months.

How to switch and save

By switching to a new energy supplier, you have the potential to bring the cost of your rising energy bills down. 

It’s also really easy to dousing an online energy comparison service. After providing a a few personal details about your home and your usage, you’ll get to see what the best energy deals are in your area and how much you can save by making the switch.

Online energy comparison tools are also useful because you get to see different tariff features and what options you have from the best energy suppliers on the market right now.

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Richard Hart

Rich is a freelance copywriter and content strategist with over 10 years' experience. His career has seen him work in-house and in various agencies, producing online and offline content marketing campaigns and copywriting for clients in the energy industry.