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You could be paying more in energy bills because of where you live

Patrick Christys
Sep 16, 2019

Where you live can determine how much you pay in energy bills.

New research shows exactly how much you're being ripped off depending on your location - and many people are paying up to £72-a-year more than they should.

An investigation by MoneySavingExpert has revealed that energy customers in the SWEB region of south west England will pay up to £72 more than those living in the East Midlands, despite a new lower energy price cap coming into force next month.


This is because gas and electricity prices ares split up into 14 energy supply "regions", which means that firms can charge customers different prices.

The money saving website analysed data based on standard tariffs from the big six energy firms.

The energy price cap - which is due to start next month - means that firms cannot charge more than £1,179 a year down from £1,254 a year on average.

But customers can still save up to £359 a year by switching from a standard tariff to a cheaper deal, MoneySavingExpert said.

In April, the energy regulator Ofgem increased the energy price cap - costing millions of households over £100 a year.

But in August it announced that the cap would fall by an average of £75 a year, due to lower wholesale costs.

Gary Caffell, energy and utilities editor at, said: "These regional differences highlight a postcode lottery, where living in the 'wrong' area could mean you have to pay a lot more for your energy than those in neighbouring regions.


"Don't be fooled by the headlines which say the price cap is dropping, millions could save £100s a year more by switching, so urgently check if you can get a better deal before the colder weather hits."

Last year, Brits were so reluctant to change energy provider that over 9million households didn't do so between 2012 and 2017.

In fact, some households are losing out on £220 a year - all by not switching their energy supplier.

Earlier this year, the Big Six energy firms charged almost exactly the same price under the new price cap - spiking rumours of collusion.

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