How Has Behaviour Towards Energy Usage Changed in the UK?

As of early 2022, most folks in the UK are well aware of the Ofgem announcement regarding the upcoming rise in the energy price cap, effective April 1st. Ofgem, the regulatory body overseeing gas and electricity markets in the UK, has been tasked with managing price caps on utilities to protect consumers.

These price caps essentially limit how much energy suppliers can charge per unit of gas or electricity consumed by households. However, the cap doesn't restrict overall spending—higher consumption naturally leads to higher bills. It's important to note that this regulation applies only to standard and default tariffs, meaning fixed-term deals remain unaffected.

Recent estimates suggest that approximately 22 million UK households will feel the impact of this increase. Starting April 1st, 2022, the cap is expected to jump by 54%, translating to an additional £693 annually for the average household. This change could push annual energy expenses close to £2000. Experts predict another potential hike of around £300 by October 2022.

Public Reaction to Rising Energy Costs

In light of these anticipated increases, there's been a noticeable shift in how Britons manage their energy usage at home. We recently reached out to members of the public to understand how they're adapting to rising energy costs.

Our findings revealed some interesting trends. For instance, 45% of UK households expressed willingness to explore alternative energy solutions should their bills rise by 50%. In cities like Liverpool, 67% of respondents indicated they'd opt for solar panels in response to the current price hikes and broader geopolitical uncertainties. Similarly, 61% of residents in Manchester expressed similar intentions.

The pattern continues across other major cities; in Leeds, 72% of locals would consider switching to renewable energy sources such as solar panels if their electricity costs went up this year. Even smaller increments, like a 10% increase, saw 9% of Leeds residents considering solar panel installation. Meanwhile, 5% of Birmingham residents shared the same sentiment about investing in solar technology under similar conditions.

Exploring Renewable Energy Solutions

With energy prices climbing steadily, many are turning toward sustainable alternatives like solar power to mitigate costs. Investing in solar panels offers numerous advantages:

• Adds value to your property
• Reduces electricity bills significantly
• Generates electricity even during colder months
• Contributes to achieving carbon neutrality
• Allows earning income by selling surplus energy back to the grid
• Requires minimal upkeep

Interestingly, awareness about these benefits remains limited among the general population. Only 27% of UK residents realize that solar panels can enhance property value by improving the Energy Performance Certificate (EPC) score. Additionally, just 32% are cognizant that excess energy generated can be sold back to the grid via feed-in tariffs, yielding roughly £150 annually in addition to reduced utility bills.

When surveyed, only 30% of Liverpool participants acknowledged solar panels' ability to function effectively during winter, paralleling the 27% figure observed in Birmingham. Over half of all Britons recognize that solar panels cut down on electricity expenses, which isn't surprising given the escalating energy prices amid global unrest.

Have your habits around energy usage shifted? Installing solar panels might offer relief from rising energy costs. Contact us today to embark on a journey toward sustainability with Project Solar.