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Gaining Help with Gas and Electricity Bills

With people around the country worried about the price of energy bills, we hope this article will simplify the information around what the price of consumer energy will be.

We will also cover what this means for the average consumers bills, and the other proposed measures to help UK consumers deal with the increased cost-of-living in 2022.

Report Energy Theft

Energy theft is dangerous. It puts you and your loved ones in danger. If someone you know is tampering with their gas or electricity meter, make sure you report it 100% anonymously here.

The Stay Energy Safe Service can only take information on energy theft and meter tampering. We are not able to assist with calls regarding changing supplier, bills, cheaper electricity or gas quotes, meter faults, meter readings, topping up pay as you go, new meters, requesting a smart meter, boilers, power cuts, or car charging. If you need help with any of these, please contact your energy supplier.

What’s the Problem? Why Are Energy Bills Increasing?

The price that energy companies pay for electricity and gas is going up, because of shortages in supply. As a result, many smaller energy companies have ceased trading, and those that remain, have increased the prices that consumers have to pay.

This also comes at a time when the UK inflation just hit a 10-year high of 5.4%.

The UK government state they are exploring a range of options to help people deal with the increases in the cost of living that they are facing in 2022 – and reviewing the VAT on energy bills is one of those measures.

What Is the VAT on Energy?

VAT (value-added tax) is a government charge on most goods or services. VAT on energy bills is charged in two ways:

  1. There is a 20% standard rate of VAT on energy that applies to UK businesses that have a high energy usage.
  2. There is a 5% standard rate of VAT on energy usage for houses, flats, charities, and several other types of premises.

What Is Happening To Help Consumers Deal With the Energy Price Increase?

One of the options being discussed is to remove the “green levies” currently charged on energy bills. These are designed to help the UK hit net zero carbon emissions by 2025 by making individual households more energy efficient. However, many people are concerned that these levies are vital in the fight against global warming and see this as a knee jerk reaction.

The energy industry supports green levies being transferred into general taxes and are also pressing for a government-managed loan scheme that would allow them to borrow to fund the cost of buying gas at increased prices, though we may not know the full picture until the next budget announcement on 23rd of March.

What To Do if I Can’t Afford My Energy Bills?

If you are one of the millions of people struggling with your bills, there are a several approaches that you can take, such as talking with your energy provider directly to see what they can do for you.

Alternatively, there are a number of schemes available provided by the government which you could be eligible for. This includes the Winter Home Discount scheme, Winter Fuel Payment and Warm Home Discount.

The government has also introduced a £500m winter hardship fund which is managed by local authorities, with the goal of providing essential aid to vulnerable households.

To find out more about what is available to you if you are struggling to pay your bills, the industry regulator Ofgem offers practical advice and support.

Find more information about Stay Energy Safe please visit the links below:

Learn more about electricity theft

Learn more about gas theft

REPORT ANONYMOUSLY

If you spot energy theft anywhere, speak up anonymously now.