Energy bills have gone up - steps you can take now to reduce what you pay

The Ofgem price cap has come into effect, pushing household energy bills higher.

The energy bill for the average household paying by direct debit is now £1,723(Image: Getty)

The cap has risen by 4%, lifting the average annual gas and electricity bill for a direct debit household from £1,663 to £1,723. It limits the amount charged for unit rates of gas and electricity, rather than placing a ceiling on the full bill.

Experts warn that costs could climb by nearly another £300 over the winter. Cornwall Insight expects the cap to reach £1,999 a year in January, which would be 16% higher, or £276 more.

Rising energy prices are being fuelled by the intensifying conflict in the Middle East, which has disrupted gas supplies worldwide. If you are concerned about your bill, here are the main ways to bring your costs down.

There are things you can do to lower your energy bill(Image: Getty Images)

Look at fixing your tariff

Uswitch says some fixed tariffs are still cheaper than the expected January price cap, and a number are also below the current cap.

A fixed deal locks in your unit rates and standing charges for a set period. That can protect you if prices rise again, although you may pay more if market costs fall.

Before switching, check any exit fees you might face. You can usually leave a fixed tariff without penalty during its final 49 days.

Reduce how much energy you use

Keeping track of your energy use this winter will help keep bills under control. Lowering your main thermostat by 1C can cut up to 10% from your annual heating costs.

Small changes such as switching appliances off standby and turning off lights when you leave a room can also make a difference. Some appliances, including fridges and freezers, should stay switched on.

Prepare your home for colder weather

It is a sensible time to check your home before temperatures fall. Turn on the heating to make sure it is working properly, and confirm that your boiler servicing is up to date.

You can also take simple steps to keep heat inside, such as sealing draughts around doors, windows and floors. Other useful checks include insulating exposed pipes and bleeding radiators.

Be aware of winter support payments

Several winter payments are available for low-income households and pensioners.

Winter Fuel Payments can be worth up to £300 and are paid to state pensioners. People earning more than £35,000 will still receive the payment, but it will be reclaimed through the tax system.

The Warm Home Discount reduces bills by £150 for people receiving certain means-tested benefits. Cold Weather Payments are worth £25 when temperatures are recorded as, or expected to be, 0C or below for seven consecutive days.

Contact your energy supplier

If you are worried about falling behind on payments, speak to your supplier as soon as possible. They should explain what support is available, including payment plans and affordable debt repayment options.

Many major energy firms also run hardship funds or grants for customers in energy debt. Charities can also offer advice and support if you are struggling with bills or arrears.