The energy market in 2018 is proving to be a problematic one in the UK. It’s the one year where things are turning out to be more competitive than the previous years which leaves energy suppliers and business owners alike on edge only months before the fast-approaching deadline of the energy price cap bill that the government hopes to address the pricing limit of energy bills. Luckily for you, even though choosing an energy provider might be a bit complicated in 2018, there are still a few tools out there to help you keep your budget intact to keep your business moving in the right direction.
Be up-to-date with the news
With the advancements of the technology and Internet, it’s much easier for news to be disseminated online rather than just waiting for it on the news channel. Several news sites and forums are up that discuss the recent advancements in the energy market economy, but just to give you a brief rundown, here’s some news that’s bound to get more familiar as we get into the year.
If you’ve been living under a rock for the past few months you probably haven’t heard of the recent energy crisis. The UK’s biggest energy suppliers have recently made suspiciously similar advancements in their business models. British Gas have unsurprisingly made another price increase this year of an additional 5.5% to fuel and electricity prices, just short of a few months after their previous 12.5% increase. EDF and Scottish Power have also unsurprisingly followed the trend of raising their energy prices by 2.7% and 5.5%, respectively.
It might be difficult to predict a shaky energy market on your own. That’s why there are price comparison sites like utilitybidder.co.uk which can give a relatively precise quote of the market’s current energy prices.
Be on the lookout
As companies are steadily rushing to raise their energy prices before the Domestic Gas and Electricity bill is passed, which will allow energy regulator Ofgem to limit tariff rates until 2020, major energy suppliers are following British Gas. After a statutory consultation process of around 60 days, energy suppliers will be left to adjust their rates within the range of this grace period.
With their, strictly speaking, ‘legal’ price increases attention now turns to smaller energy suppliers and how they will adjust to the trend. The benefit of choosing to subscribe to smaller energy suppliers is that they have relatively lower rates compared to larger big name companies like Scottish Power. Contrary to popular belief, being closer to the city gives you cheaper energy rate opportunities. You are in luck if you are closer to the city as smaller companies are looking to set lower starting price rates for newer customers.
Keep your bearings and deadlines
Energy contracts usually have an automatic renewal of the deal with you after a set amount of time. You have to keep note of this date if you’re planning on switching to another provider. Knowing when your contract is up or when the time to switch is best will help you seek out a new company with better prices. Make sure that you’ve decided to move ahead with the switch, and that you’re open to haggling a business tariff with your new potential energy supplier.
Keep a close eye on the energy market
With the sudden influx of price increases, it means the market is sure to get worse before it gets better. What this means for the market is that there’ll be a familiar trend for energy suppliers to follow the three which makes for a competitive market with a strict deadline before the energy price cap bill can be implemented by the end of this year, limiting bill prices that energy providers can impose on consumers. It’s better either to wait for the storm to pass or to take the initiative to switch while you still can.
The business economy in the UK is facing one of its most dangerous waters in years. Along with the incoming approval of Brexit limiting trade routes, together with the draft appeals for the London Plans of 2018 proving to be taken a hand at the housing industry, the UK is looking to have a difficult year before the situation gets any better.