What Is the Best Way to Save Money on Energy Bills?

With energy costs on the rise, it’s important to find ways to save money on energy bills. Many households in the UK are looking for simple and effective ways to cut costs without sacrificing comfort. Here, we’ll break down easy steps you can take to lower your energy usage and reduce your bills.


1. Understand Your Energy Bill

Before you can save money, it’s helpful to understand how your energy bill works. Energy providers charge based on two main factors:

Unit rate: the price for the energy you use.

Standing charge: a daily fee for supplying energy to your home.

By understanding these, you can find areas where you can make changes.


2. Switch to a Cheaper Tariff

Many people pay more than they need to by staying on expensive energy plans. One of the quickest ways to save money is by switching to a cheaper tariff. Comparison websites, such as MoneyExpert and Switcheroo, allow you to compare different energy providers. Switching could save you hundreds of pounds each year.

How to Switch:

  • Visit an energy comparison website such as MoneyExpert.
  • Chose a better plan based on your needs.
  • The new provider will handle the switch for you, so there’s no hassle.
laptop with energy switching on screen with person pointing to energy comparison

3. Use Energy-Efficient Appliances

Upgrading to energy-efficient appliances can help you save energy. Appliances with an A++ or higher energy rating use less electricity. This can save you money over time, even if the appliances cost more upfront.

Key Appliances:

  • Fridge-Freezer: Newer models with high energy ratings can cut your electricity use by up to 40%.
  • Washing Machine: Energy-efficient models save water and electricity.
  • LED Bulbs: Switching to LED bulbs can cut lighting energy use by up to 90%.

4. Install a Smart Thermostat

Heating is one of the biggest contributors to energy costs. A smart thermostat can help you control your heating more efficiently. You can set it to only heat your home when needed, saving energy when you’re away.

Benefits:

  • Remote Control: You can adjust the temperature using a smartphone app.
  • Energy Monitoring: Track how much energy you’re using.
  • Custom Schedules: Set the heating to turn on only when you’re home.

5. Improve Home Insulation

Good insulation can keep your home warmer in the winter and cooler in the summer. This means you won’t have to rely on heating and cooling systems as much, saving you money.

Common Insulation Upgrades:

  • Loft Insulation: Adding insulation in your loft can save you up to £200 a year.
  • Wall Insulation: Filling gaps in your walls can make a big difference.
  • Double-Glazed Windows: These windows keep more heat inside and also reduce noise.

6. Adopt Energy-Saving Habits

Small changes in your daily habits can also lower your energy bill. These might seem minor, but they add up over time.

Energy-Saving Tips:

  • Turn Off Appliances: Unplug devices when they’re not in use to stop them from using “vampire power.”
  • Shorter Showers: Reducing shower time saves on water and energy for heating
  • Lower Laundry Temps: Washing clothes at 30°C instead of 40°C can use 40% less energy.

7. Upgrade to Renewable Energy Sources

Switching to renewable energy can be a long-term way to reduce your bills. Heat Pumps or Solar PV use less traditional energy, which can save you money in the long run.

Solar Panels:

Solar panels capture energy from the sun to power your home. On average, they can save homeowners around £330 a year on electricity bills.

Heat Pumps:

Heat pumps are highly efficient systems for heating and cooling, reducing the energy needed to keep your home comfortable.

cartoon image of a house with solar and heat pump installed to save money on energy bills

8. Take Advantage of Government Schemes

The UK government offers several schemes to help people save money on their energy bills. These include the Warm Home Discount and Winter Fuel Payment. These programs provide financial help to those struggling with high energy costs.

How to Apply:

  • Visit gov.uk for eligibility requirements.
  • Contact your energy supplier for information on available schemes.

9. Monitor Your Energy Usage

Using a smart meter is one of the easiest ways to keep track of how much energy you’re using. A smart meter shows your energy use in real time, making it simple to see where you’re wasting energy and where you can cut back. With this information, you can make quick changes, like turning off unused lights or adjusting your heating.

How Smart Meters Help You Save:

  • See Energy Use Right Away: Smart meters let you see how much energy you’re using at any moment. You can spot wasteful habits, like leaving electronics on when they’re not in use.
  • Cost Awareness: Smart meters usually come with a small screen that shows how much you’re spending on energy. Seeing this in real time can help you be more mindful of how much energy you’re using.
  • Avoid Surprises: By tracking your energy usage day by day, you’ll have a better idea of what your bill will be, helping you avoid any surprises when it’s time to pay.

Use Energy During Cheaper Times:

Some energy plans have lower rates during certain hours, like late at night or early in the morning. With a smart meter, you can see when energy is cheaper and shift tasks, like laundry or running the dishwasher, to these times.

Long-Term Benefits:

Over time, smart meters help you see patterns in your energy use. If your heating uses a lot of energy, it might be a sign to improve insulation or upgrade your heating system. You can also figure out if older appliances, like your fridge or washing machine, are costing you more money than they should.

Build Better Habits:

Having constant feedback encourages better energy habits. You’ll find yourself turning off lights more often or being more careful about heating, saving you money in the long run.

Free and Easy to Use:

Many energy companies offer smart meters for free. Once it’s installed, the smart meter automatically sends readings to your supplier, so you no longer have estimated bills. You only pay for the energy you actually use, which makes budgeting easier.


Final Thoughts

Saving money on energy bills is more important than ever, but with a few simple changes, you can start seeing results. From switching to a cheaper tariff and upgrading appliances to improving your home’s insulation, there are many ways to reduce your energy use and save money.

By following these tips, you can take control of your energy usage and reduce your monthly bills while also helping the environment.