What’s happening in the energy market?

Why have energy prices gone up?

There’s a shortage of gas and electricity and countries are reducing their imports from Russia, so energy companies are having to pay more to buy it. This means suppliers have to raise the price of their tariffs to cover the increased cost. 

Some suppliers haven’t been able to afford the rise in energy prices, and have collapsed as a result. 

If you’re on a standard variable tariff (SVT), the maximum price energy suppliers can charge customers – called the energy price cap – is also increasing. 

Which energy companies have gone bust and who is my new supplier?

As of 26 July 2022, here are the energy suppliers that have gone bust, plus the companies that have taken on their customers.

How much more will energy cost per month?

That depends on what type of tariff you’re on, the standing charge and the unit rate (the price of each kWh of electricity and gas). 

If you’re on an SVT, you’ll also need to consider that the energy price cap could affect how much you pay each month. The price cap could push the maximum cost up to £1,971 a year (around £164.25 per month) if you’re on a standard variable rate, or up to £2,017 a year (about £168.08 per month) for prepayment customers.

What if I’m moving home, can I change my supplier?

If you don’t want to switch, you could ask your supplier whether you can keep your current energy tariff.

If not, you’ll need to search for a new energy provider and let your current supplier know that you’re moving home. Don’t forget to submit an energy meter reading the day you move out and give your current supplier your new address so you’ll receive your final bill.

Can I switch energy supplier at the moment?

Most comparison sites have stopped comparing energy tariffs as there aren’t enough options that provide you with a good deal.

But you can still switch your energy tariff by going directly to the provider, or with our friends at Energylinx (a part of the Future group).

When will I be able to switch energy again?

You can still move energy suppliers, but the higher tariff costs mean you’ll likely be paying more than you were before you switched. 

Is it different for prepay customers?

Rising energy costs affects all customers, including those on a prepay tariff. This means that the amount you top up by might not get you the same amount of gas or electricity as before.

If you’re on a prepayment standard variable tariff, the energy price cap might offer some protection as you can’t be charged above its maximum limit. 

My tariff runs out in the next few months – what should I do?

You can still compare energy deals online or even go directly to suppliers, but it’s unlikely you’ll be able to find a competitive deal right now. 

Unless your supplier has gone bust, you might be charged an exit fee if you leave your current tariff early. 

Are we going to have energy supply issues this winter?

The government has stated that “we have one of the most reliable and diverse energy systems in the world” so the UK should be fine over winter as it isn’t solely relying on gas imports.

I'm still in debt from Covid, what can I do?

You should talk to your energy supplier first and see what it can do to help. You can also get help from Citizens Advice if you’re struggling.

What help is there for vulnerable people?

There are a few schemes that can help you with your energy bills: 

• Energy Bills Support Scheme – A £400 grant automatically applied to your energy account
• £650 Cost of Living Payment – a one-off payment if you're on means tested benefits
• Winter Fuel Payment and £300 Pensioner Cost of Living Payment– up to £300 fuel payment if you were born on or before 5 October 1954 plus another £300 one-off payment as a top-up
• £150 Disability Cost of Living Payment – a one-off payment if you're on disability benefits
• Cold Weather Payment – £25 for every 7 days of extremely cold weather between November and March
• Warm Home Discount – £140 off your electricity bill if you get Pension Credit or live in an eligible low-income household

How can I cut my energy usage?

Some tips for cutting back on your energy usage include: 

• Turn off lights and appliances when not in use
• Lower the temperature of the heating, tap water and washing machine
• Use LED bulbs 
• Check the efficiency of your appliances
• Don’t run the tap when washing up – use a bowl instead
• Have a speedy shower instead of a bath
• Draught-proof your home
• Consider replacing your boiler if it's old or inefficient
• Replace single-pane windows with double glazing
• Have a speedy shower instead of a bath