The Energy Price Guarantee (EPG) is a scheme that was introduced by the UK government in 2013 in order to help low-income households and those on certain benefits to afford their energy bills. The EPG is available to households in England, Wales, and Scotland and provides a discount on energy bills for eligible customers. The discount is available to households that receive certain benefits, including Pension Credit, Income Support, and Employment and Support Allowance.
The EPG operates on a regional basis, with different discount levels available in different parts of the country. The level of the discount is determined by the region in which the household is located and is based on the average energy prices in that region. The discount is applied to the energy charges on the household’s bill and is available for both gas and electricity.
With energy costs set to rise, many consumers are looking for ways to guarantee their energy prices for the upcoming months. The Energy Price Guarantee includes regional rates. In this blog, we take a closer look at the latest updates, regional rates, and other important information.
Energy Price Guarantee regional rates October to December 2022
Here are the latest regional rates published by the UK government:
Rates per region for those using Direct Debit (Electricity: in p/kWh ex VAT and Gas in p/kWh ex VAT)
North West
31.882
9.836
Northern
30.705
9.715
Yorkshire
31.456
9.756
Northern Scotland
31.494
9.788
Southern
32.596
9.960
Southern Scotland
32.155
9.788
North Wales and Mersey
34.269
9.851
London
34.093
10.009
South East
33.633
9.805
Eastern
33.388
9.819
East Midlands
31.446
9.750
Midlands
32.121
9.842
Southern Western
32.248
9.930
South Wales
32.355
What is the energy price cap?
The energy price cap in the UK is a limit on the amount suppliers can charge for gas and electricity. The energy price cap aims to protect households from overpaying for their gas and electricity. This particularly concerns those who are on a standard variable tariff, which can be more expensive than other tariffs. The cap also encourages competition among suppliers, encouraging them to offer better deals to customers.
Throughout 2022, the UK saw numerous increases in the energy price cap amid the cost of living crisis. Recently, Ofgem, the energy regulator, has announced an update to the energy price cap for the period of January 1 to March 31, 2023, which will increase to an annual level of £4,279 in January 2023. However, consumers will still be protected under the Energy Price Guarantee (EPG).
Can prepayment meters help manage energy bills?
Prepayment meters are another option for households that may be struggling to pay their energy bills. A prepayment meter is a type of meter that requires customers to pay for their energy in advance, either by purchasing a prepaid card or by using a key or token. Prepayment meters can be useful for households that have struggled to pay their energy bills in the past or for those who prefer to pay for their energy on a pay-as-you-go basis.
Prepayment meters have several advantages and disadvantages. One advantage is that they can help households to budget for their energy costs, as customers know exactly how much they are spending on energy each week or month. Prepayment meters can also be useful for households that are on a tight budget or for those who are trying to reduce their energy consumption.
However, prepayment meters also have some disadvantages. One disadvantage is that they can be more expensive than other types of meters, as energy suppliers may charge higher rates for energy purchased through a prepayment meter. In addition, prepayment meters can be inconvenient for customers, as they may need to remember to top up their meter regularly or risk running out of credit.
Overall, the Energy Price Guarantee and prepayment meters are two options that are available to households in the UK that may be struggling to afford their energy bills. Both options have their advantages and disadvantages, and households need to consider their individual circumstances and needs when deciding which option is best for them.
Are you struggling to pay for your energy?
In addition to the Energy Price Guarantee, there are also several schemes in place to help low-income households with their energy bills. Consumers may be able to get help through the Warm Home Discount Scheme or the Winter Fuel Payment.
The Warm Home Discount Scheme is a UK government program that provides a discount on electricity bills for eligible low-income households. The discount is typically around £140 and is applied to the customer’s electricity bill between September and March.
To be eligible for the Warm Home Discount Scheme, you must meet certain criteria. This includes receiving the Guarantee Credit element of Pension Credit, or being on a low income and in receipt of certain means-tested benefits. Customers of certain energy suppliers may also be eligible for the discount.
The Winter Fuel Payment is a UK government benefit that is paid to people who are over a certain age to help with the cost of heating their home during the winter. The payment is typically made between November and December each year.
To be eligible for the Winter Fuel Payment, you must be over a certain age and living in the UK during the qualifying week, which is usually the first week in December. The exact age at which you become eligible for the Winter Fuel Payment depends on your date of birth.
The amount of Winter Fuel Payment you receive depends on your circumstances, such as your age and whether you live alone or with someone. The payment ranges from £100 to £300.
If you think you may be eligible for the Warm Home Discount or Winter Fuel Payment, you should contact your energy supplier to find out more.
What are other energy saving and energy efficiency tips?
If you already used government help and your energy bills are still high. There are some things you can do.
- Shop around for a better deal: By comparing energy tariffs, consumers can potentially save money on their energy bills.
- Use energy more efficiently: Consumers can save money on their energy bills by using energy more efficiently, for example by turning off lights when they are not needed and using energy-efficient appliances.
- Insulate the home: Proper insulation can help to keep the home warm in the winter and cool in the summer, which can reduce energy consumption and lower energy bills.
- Use renewable energy sources: Consumers can consider installing renewable energy sources, such as solar panels or wind turbine, to generate their own electricity.
- Consider switching to a fixed-rate energy tariff: A fixed-rate energy tariff can provide peace of mind by fixing the price of energy for a set period protecting against future price increases.
Saving energy is important for many reasons. One reason is that it helps to reduce greenhouse gas emissions and mitigate the impact of climate change. Additionally, using less energy can save money on energy bills. Furthermore, using less energy can reduce our reliance on fossil fuels and increase our energy security. Finally, using energy efficiently helps to ensure that we have a sustainable energy supply for the future. There are many ways to save energy, such as using energy-efficient appliances, sealing air leaks in the home, and using public transportation instead of driving. By making simple changes in our daily lives, we can make a big difference in terms of reducing our spending on energy supply and saving the environment.