As if gas prices weren’t high enough, the recent Russian invasion of Ukraine will likely lead to new headaches for homeowners right across the UK. The hardest hit will be homes that rely on gas-using appliances, such as boilers, gas fires, and cooking hobs.
But why does a conflict happening over 1,000 miles away have an impact on what you can expect to pay for heating your home?
Why The War Impacts Your Home and Energy Supply
In short, as the Western world looks to close off Russia from financial markets and trading systems through sanctions, gas supplies are being reduced, pushing up prices. Russia is the second-largest exporter of crude oil and the world’s largest exporter of natural gas.
Thus far, gas supplies have only been slightly hampered, and gas continues to make its way through pipelines to Europe. However, the threat remains that supplies could drop quite dramatically in an escalation of tensions.
The UK only sources 5% of its gas from Russia. However, Russia is the principal supplier for most of Europe. If one European country (for example, Germany) receives less Russian gas, they have to replace it, impacting gas supplies for other countries. That’s why British energy prices and bills are still affected, even though we don’t source much from Russia (via Ukraine) directly.
The mere threat of severe disruption to gas supplies has already pushed up prices to record levels in recent days.
What Does the Russia-Ukraine Conflict Mean for Your Energy Bills?
While you might feel, quite rightly, that gas prices have risen enough, the truth is that they are likely to rise further still.
While the energy price cap has already been increased (due to come in on the 1st April) to £1,971 (a £693 increase), experts are predicting the next one due to start in October could increase to as much as £2,900 per year.
So, with energy bills more than doubling in less than 12 months, what actions can you take to protect yourself against the worst of the increased costs?
How to Lessen the Impact of the Russia-Ukraine Conflict on Your Energy Bills
Over the last few months, we’ve been giving you practical advice as to how you can protect yourself against the worst of the cost increases. We can’t cover them all here, but you should undoubtedly check out our post on keeping your gas bill down once you’ve finished reading.
One of the best ways is to reduce the strain your gas-using appliances and, in particular, your boiler place on your energy consumption. The first port of call should be a boiler service to refresh essential parts and check everything is working as efficiently as possible.
Next, depending on the age and condition of your current boiler, it might be worth upgrading to a more efficient boiler with an efficiency rating of close to 100%. You can even benefit from 0% finance plans to help reduce the impact of a new boiler installation.
Lastly, you could look to change your energy supplier to a fixed-rate plan from another provider. The good news is that we are already well into spring, and each passing day brings warmer temperatures, reducing your dependence on gas-fired central heating.
As the days wear on – barring an energy crisis brought on by the conflict – gas prices should naturally recede, and this is an excellent time to strike a fixed-rate deal that lasts for 12-24 months. Especially if you can secure one that would see your annual bills come in well below the predicted £2,900 price cap of October 2022.
Speak to the GHS Group Today Regarding Your Gas and Energy Concerns
Here at GHS, we are continuing to help people through the current energy and cost of living crisis by offering practical advice and boiler and heating-related services that improve performance and reduce energy consumption.
From turning your heating down a degree to helping you move to a more efficient boiler, we are here to support you during these challenging times.
Please feel free to speak to a member of our friendly team today to discuss options for reducing your energy bills and gas consumption. We are available on 01329 285993 or via email at info@ghs.me.uk.
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