Energy bills are set to rise by millions as August comes to a close, as 112 fixed deals come to an end. New research from Uswitch.com showed more than 700,000 households could see their bills rise by £275 on average as they are moved automatically onto a Standard Variable Tariff (SVT), which are typically among the worst value deals on the market.
Uswitch.com warned some customers could even see their bills rise by as much as £371.92.
This could exacerbate existing energy price cap plans, with a rise of £139 due to hit consumers on October 1 as a result of Ofgems decisions.
Sarah Broomfield, an energy expert at Uswitch.com, commented: “Customers with fixed deals ending this month need to act quickly if they don’t want to be hit by the second increase to the price cap this year.
“The cost of not switching to a new plan when your deal comes to an end can be huge.
This can include Cold Weather Payments, which are awarded to people on a range of benefits.
Cold Weather Payments provide eligible claimants with a £25 payment for each seven day period of very cold weather between November 1 and March 31.
To be eligible for Cold Weather Payments, claimants must be getting one of the following:
- Pension Credit
- Income Support
- Income-based Jobseeker’s Allowance
- Income-related Employment and Support Allowance
- Universal Credit
- Support for Mortgage Interest (SMI)
Those claiming through SMI will also usually need to be getting support for certain disabilities or raising children.
Where recipients are eligible for Cold Weather Payments, they will not need to apply and will be paid automatically.
Should a person not get Cold Weather Payments but feel they were entitled to them, they can contact the Pension Service or Jobcentre Plus.
Universal Credit claimants will need to sign into their online account and add a note to their journal if they haven’t been paid.