The Energy Price Cap was first introduced in January 2019 by regulator Ofgem, to prevent millions of households on expensive variable tariffs paying over the odds for their energy.
From 1 April to 30 June 2024, the Energy Price Cap in the UK will fall to its lowest rate in two years, from £1928 per quarter to £1690, a fall of £238. This 12.3% reduction is largely thanks to a mild winter, which has lowered gas prices across Europe, due to reduced demand and plentiful supplies.
Ofgem have also confirmed they will be equalising standing charges, the set fee paid before any gas or electricity is used. This will mean the poorest households using prepayment meters will no longer be charged more than those paying on credit and direct debit for their connection.
You are covered by the new Energy Price Cap if you pay for your electricity and gas by either:
- Standard Credit
- Direct Debit
- Prepayment Meter
- Economy 7 (E7) Meter
The actual amount you pay will still depend on how much energy your household uses, but this new Energy Cap will certainly help to ease the pressure on household finances across the UK.
ECO4 funding scheme offers additional help
Whilst the Energy Price Cap reduction will undoubtedly be great news to many households, for others, it will still not be enough to ease the pressure of energy prices.
However, no matter where in the UK you live, there are financial support options available to help you. From help to pay your energy bills to help with making your home more efficient.
One such scheme is the government ECO4 scheme which can help to make your home more energy efficient, ultimately saving you money on your energy bills.
If you live in England, Scotland and Wales and are in receipt of any of the government benefits listed below or have a household income of less than £31,000, then you are likely to quality for ECO4 funding.
- Pension Credit
- Housing Benefit
- Income Based ESA
- Universal Credit
- Income Support
- Jobseekers Allowance
- Child Tax Credit
- Working Tax Credit
- Child Benefit (* Subject to certain income based criteria)
Under the ECO (Energy Company Obligation) scheme, companies like Eclipse Energy are able to access funding to deliver energy efficiency measures such as insulation and heating upgrades to low-income households helping to reduce carbon emissions and tackle fuel poverty.
ECO4 takes a ‘whole house approach’ and does not focus on one particular home improvement. Instead, a surveyor looks at all the features of your house and can help you access several of the below measures to make the largest energy savings. In certain properties it is possible to receive 4 or even 5 of these measures at the same time, with no customer contribution.
- Loft Insulation
- Internal Wall Insulation
- Air Source Heat Pump
- Floor Insulation
- External Wall Insulation
- Solar Panels
- Room In Roof Insulation
- Full Central heating
The funding towards these measures will improve your homes’ energy efficiency, meaning you will require less energy to heat your home, protecting you against rising energy costs.
To find out more about the ECO4 scheme and how Eclipse Energy can help please follow the link to our website.
Not eligible for funding? Solar energy could be your solution!
For those not eligible for ECO4 funding, renewable energy is now a great option to reduce your energy bills.
Solar panels have fallen in price dramatically since they first came to the UK market several years ago, and in combination with a battery storage system are one of the most affordable ways of generating your own electricity and reducing your reliance on the National Grid.
In addition to saving on your electricity bills, the Smart Export Guarantee (SEG) allows you to get paid for any unused electricity from your utility provider.
As well as the financial savings, solar is one of the most accessible ways of making a positive environmental impact. Solar panels don’t produce any greenhouse gases, are completely self-sufficient and can work for decades. By generating your own electricity with solar, you’re doing your part to help reduce emissions and contributing to a sustainable future.
To find out more about Solar panels and to arrange a free no-obligation consultant with a member of our Eclipse Energy team, please follow this link to our website.