According to USwitch, the average electricity bill in the UK as of January 2025 is 拢671.22 per year (without factoring in the annual electricity standing charge), whereas the annual average gas bill stood at 拢729.10 per year (without factoring in the annual gas standing charge). And the numbers aren鈥檛 getting lower.
The House of Commons reported that unit prices for gas will increase by 1.6% in January 2025 and electricity by 1.4%. This means that households across the UK, which are already squeezed by high costs, are likely to be squeezed further.
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Why Are Electricity and Gas Costs So High In The UK?
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The rising energy costs in the UK are caused by a few elements, including:
Imported gas: The UK has one of the lowest national gas reserves in Europe, meaning it relies on imported gas to fuel the country. As wholesale gas prices go up, the UK has little bargaining power to combat this cost.
War in Ukraine:听As the UK relies on imported gas, the price was impacted by the war, which occurred across popular routes like Nord Stream 1.
Low renewable energy output:听The UK is transitioning to more renewable energy as it gets closer to net zero, but the infrastructure is expensive and can be unreliable depending on the weather. If the tech doesn鈥檛 produce the energy, it relies on gas, driving the price up.
Luckily, there are a number of technology items and apps that can help keep this cost down for households. This includes:
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Tech To Save Money On Utilities
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Smart Thermostats
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Smart thermostats can help you save money by allowing you to more easily adjust the temperature of your house. These devices are able to learn your routine and adjust your energy usage to be more efficient.
These devices have been known to drastically cut energy usage, saving money in the long-term.
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Smart Meter
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They say knowledge is power, and smart meters are great tools to help you understand where and when most of your energy is being used.
With these gadgets, you can more easily track your usage, keep an eye on costs and see which appliances are the most expensive.
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LED Light Bulbs
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LED lightbulbs use less energy than traditional lightbulbs, without compromising on brightness.
Small changes like this can make a big difference over time, so looking for small swaps is a great tactic.
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Smart Plugs
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Smart plugs are able to be controlled remotely, meaning you can have more control over which appliances are on in the house whilst you鈥檙e away.
In addition to this, they also use less energy to power items, helping you save money on electricity.
Apps To Save Money On Utilities
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Loop
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Loop is an app that connects directly to your smart meter. The app allows you to see your home鈥檚 real-life readings on the go.
By analysing and tracking energy usage, the app also makes suggestions of what you can do to save energy and cut costs.
Bright
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Similar to loop, Bright allows you to monitor your energy consumption in real-time. The app also shows peak and off peak energy rates, which are charged at different unit prices.
This means that you can better plan off-peak charging times, especially if you have appliances like EVs.
Smappee
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Smappee is another app that allows you to take advantage of off-peak energy prices.
The app tracks electricity usage to allow you to run your home more efficiently. Particularly for households with EVs, this can be a great tool for savings.
