The cost of heating a home is now 63% higher than five years ago

Rocketing energy prices have forced the cost of heating a home up by 63% since 2008, with consumers now having to shell out an eye-watering £587 a year just to keep warm, according to analysis by uSwitch.com.

The cost of heating a home is now £227 a year more expensive than it was just 5 years ago, placing an additional burden on cash-strapped consumers especially during the winter. The increase is the equivalent of families having to find an additional £45 each and every year.

The average household energy bill is now an eye-watering £1,334 a year, with heating accounting for almost half (44%) of this. Five years ago, when the average household bill was a more manageable £819 a year, heating would have cost just £360 a year. The impact on consumers is clear - as the cost of energy has soared so has the number of households rationing their energy use to keep a lid on the cost. Last winter three quarters of households (75%) - potentially 19.5 million - went without heating at some point to keep energy costs down. Soaring energy bills have left almost nine in ten households (87%) planning to ration their energy usage this winter.

However, households could reduce the amount they spend on heating by up to 21% or £123 a year, just by moving to a more competitive energy plan. The cheapest tariff on the market costs £1,054 a year on average, meaning that customers would pay £464 a year for their heating compared to £587 a year for those on a typical standard tariff.

Ann Robinson, Director of Consumer Policy at uSwitch.com, says: "It now costs households a staggering 63% more a year to heat their home than it did five years ago. This increase has knocked consumers for six, leaving many fearful of how they will afford to keep warm during the winter months and leading to growing numbers rationing their energy use even during the harshest weather.

"Recent price hikes from energy suppliers will add £753 million onto energy bills and push 314,000 households into fuel poverty. Many households will feel that they have little choice but to turn their heating down or off, and by doing so risk gambling with their health. Three-quarters (75%) went without heating at some point last year, and with price hikes pushing bills even higher this figure is likely to rise. 

"However, consumers can reduce the amount they spend on heating, without compromising their wellbeing or qualify of life. There are many low-cost or free insulation offers available that will make homes more energy efficient and there is currently over £300 difference between the cheapest and most expensive energy tariffs on the market. These two steps will reduce the amount of energy we use and the amount we pay for it and are our best defence against the high cost of energy today."

For more information, visit uSwitch.com.