Homes come in all different shapes and sizes. From studio apartments for a bachelor to large detached houses for families of five, every household uses different amounts of energy. However, having an idea of the amount that most people spend on their energy can help give you an idea of how much you should be spending when you compare energy prices.
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As the cost of energy per household varies wildly, the UK’s energy regulator Ofgem created three categories for homes:
For each of these categories, Ofgem has determined typical values for how much energy an average household in each would use, known as Typical Domestic Consumption Values (TDCVs). To avoid the figure being heavily affected by a small number of households that use an exceptionally large amount of energy, a median figure is used.
Average fuel bills have been increasing in the last few years, although average energy usage has trended downwards. As technology improves, appliances and homes become more energy efficient, so why are people paying more?
As North Sea oil supplies have decreased, and more sources of energy are discovered across the world, Britain has begun to import more fuel than it exports. The lack of domestic supply has led to large price rises for consumers, with prices more than doubling since 2004.
Here is a breakdown of the average gas bills in the UK:
Household Size | Monthly Average Cost | Yearly Average Cost |
Small | £33 | £392 |
Medium | £48 | £572 |
Large | £66 | £793 |
Here is a breakdown of the average electricity bills in the UK:
Household Size | Monthly Average Cost | Yearly Average Cost |
Small | £34 | £403 |
Medium | £49 | £590 |
Large | £70 | £846 |
Most energy suppliers offer a discount for choosing them for both your gas and electric needs, and combining your energy costs is known as ‘dual fuel bills’. Here is a breakdown of the average dual fuel bills in the UK:
Household Size | Monthly Average Cost | Yearly Average Cost |
Small | £66 | £795 |
Medium | £97 | £1,163 |
Large | £137 | £1,693 |
It is worth noting that the discounts that you get from dual fuel bills may not be that big. Therefore, you should compare energy deals separately, as often you can get cheaper deals with two separate companies for your gas and electricity needs.
If you are finding that you are spending more than the national average on your energy, there are a number of steps you can take to reduce the amount you are spending.
The easiest one is to switch your energy supplier. If you haven’t changed your supplier for a while, it is likely that you are on a standard variable rate tariff. If you switch supplier, you can be put on a fixed price tariff, which usually come with contracts of at least 12 months, but are cheaper than variable rate tariffs.
All you have to do is use our energy comparison tool and type in your postcode, and you will be able to see what options are available where you live, and directly compare the prices and tariffs.
It is also worth making sure that your home and appliances are as up to date and energy efficient as possible. Make sure that your windows are double glazed and check the energy ratings of your fridge, washing machine etc.
You can also make small lifestyle changes which can reduce the amount of energy you are using. Turning off your lights and turning down your thermostat just one degree can save you a lot of money in the long run. It is also worth looking into getting a smart meter, with their rollout being subsidised by the government this year. They allow you to track your spending accurately, so you can be aware of how your daily habits affect your bills.