Energy Bills and the Price Cap News: page 13
- April 2023
NEA warns many vulnerable groups still face uncertainty under new prepayment meter code
National Energy Action has welcomed Ofgem's new prepayment meter code of practice as much needed, but warns that many vulnerable groups still face the threat of forced installation or remote switching.
Voluntary Code of Conduct to prevent forced PPM installations announced
Energy suppliers signed a voluntary code of conduct on 18 April 2023 intended to stop the forced installation of prepayment meters, a measure campaigners say does not go far enough.
Evidence period for Alternative Fuel Payment applications extended by 3 months to June 2022
Grant Shapps extended the Alternative Fuel Payment evidence window back to June 2022, so households that bought heating oil, LPG, biomass or solid fuel in bulk before winter can still claim £200.
Which? warns low-income households face £209 shortfall and calls for social tariff
Which? research published on 4 April 2023 estimates the poorest tenth of UK households will spend an average of £209 more on energy this financial year and calls for a targeted social tariff.
Analysis reveals regional gaps in Energy Bills Support Scheme delivery
Analysis of the first five months of the Energy Bills Support Scheme shows missed or unredeemed payments above four per cent in several areas of high fuel poverty, with £241m still owed.
Budget 2023 equalises prepayment meter and direct debit prices
The Spring Budget 2023 confirmed that prepayment meter prices would match direct debit prices from April 2023, ending the long-standing premium paid by households who top up.
Electricity-to-gas price ratio fell to 3.2 under the Energy Price Guarantee
Nesta analysis finds the electricity-to-gas price ratio reached a low of about 3.2 in April 2023 under the Energy Price Guarantee, against 3.5 under the default tariff cap.
Energy price cap due to rise in April 2023
The National Insulation Association has told a government consultation that a further 20% rise to the energy price cap was expected in April 2023, as it pressed for faster delivery of insulation under the ECO+ scheme.
Energy price cap falls to £3,280 for a typical dual fuel direct debit household
The energy price cap for a typical dual fuel household paying by direct debit fell to £3,280 on 1 April 2023, down almost £1,000 from the previous level.
Energy price cap support level changes from 1 April
Research for the Warm This Winter campaign finds 29 per cent of people in debt to their energy supplier as the Chancellor's price cap extension takes effect on 1 April.
flexi-2023 cost components change at 1 April 2023
ScottishPower has published revised third party cost components for its flexi-2023 variable tariff from 1 April 2023, with Transmission Network Use of System moving from the unit rate into the daily standing charge.
GBIS allowance included in the default tariff cap from April 2023
Ofgem has included an allowance for the Great British Insulation Scheme in the default tariff cap from April 2023, passing the cost of the renamed ECO+ scheme to billpayers.
Money Advice Trust research finds 5.5 million UK adults in energy bills debt
Money Advice Trust research estimates 5.5 million UK adults are in energy bills debt, with 2.1 million more people in arrears in April 2023 than in March 2022.
Ofgem price cap change brings highest standing charges since 2019
Ofgem's price cap from 1 April 2023 brings the highest standing charges since the cap began in 2019, up 64%, as National Energy Action warns 7.5 million households will be in fuel poverty.
Ofgem publishes Involuntary PPM Code of Practice agreed with suppliers
Ofgem has published an Involuntary Prepayment Meter Code of Practice, agreed with suppliers, setting out when customers may be moved onto prepayment meters without consent and how they must be treated.
Quarterly change to Flexi variable costs from 1 April 2023
ScottishPower has published the Flexi variable cost breakdown applying from 1 April 2023, showing a sharp fall in electricity distribution standing charges and a new transmission standing charge.
New rules require £30 starter credit on involuntary prepayment meter installations
From April 2023, suppliers installing a prepayment meter or switching a smart meter to prepay without consent must offer £30 credit or an equivalent non-disconnection period.
Standing charges reach new high, up 64%
Standing charges paid daily for grid access reached a new high on 1 April, up 64%, with almost half of the poorest households' energy spending now going on these fixed fees.
- March 2023
Energy Bill Relief Scheme to end and be replaced by Energy Bills Discount Scheme
The Energy Bill Relief Scheme for non-domestic customers ends on 31 March 2023 and is replaced from April by the Energy Bills Discount Scheme, at a reduced rate of support.
Government announces rebalancing of gas and electricity costs
The Heat Pump Association has welcomed government plans to rebalance gas and electricity costs, extend the Boiler Upgrade Scheme to 2028 and consult on a clean heat market mechanism.
Welsh Government statement on energy cost of living crisis
Jane Hutt MS has set out Welsh Government concerns over the energy market, the end of the £400 Energy Bill Support Scheme payment and the treatment of prepayment meter customers in Wales.
Power NI announces underlying unit price decrease offset by reduced EPG support
Power NI has cut its underlying residential electricity unit price by 6.61p per unit, but a larger reduction in Energy Price Guarantee support means bills rise 14 per cent from 1 April 2023.
Chancellor delivers Spring Budget 2023
Jeremy Hunt's Spring Budget extended the Energy Price Guarantee for three months, ended the winter support payment, removed the prepayment meter penalty and reclassified nuclear as sustainable.
Energy Bill Support Scheme ends, leaving households £67 a month worse off
National Energy Action says the Energy Bill Support Scheme has ended, cutting £67 a month from household support, while the Energy Price Guarantee is extended at its current level.
Energy Price Guarantee extended at £2,500 for three months to June 2023
The Chancellor has extended the Energy Price Guarantee at £2,500 for April to June 2023, delaying its planned rise to £3,000 and saving a typical household £160.
EPG extended to end of June 2023 and April to June rates added
The government extended the Energy Price Guarantee to the end of June 2023 and published the regional unit rates that apply to standard variable tariffs from April to June 2023.
Government announces prepayment standing charge compensation in the Budget
The UK Government said in its 15 March 2023 Budget that it will compensate prepayment customers for higher standing charges from July 2023 to March 2024, at a cost of £200 million.
NEA publishes response to Ofgem call for evidence on prepayment rules and protections
National Energy Action has published its response to Ofgem's call for evidence on prepayment rules, naming four areas it says need significant consideration before protections are settled.
Ofgem extends forced prepayment meter installation ban
Ofgem's chief executive announced on 14 March that the ban on forced prepayment meter installations would run beyond the end of March, lifting only if firms follow a new code of practice.
Citizens Advice publishes report recommending new energy bill support framework
Citizens Advice has published a report calling for the current system of energy bill support to be replaced by a state-determined social tariff funded by general taxation, with a new framework in place by spring 2024.