Brits are being warned this January's gas and electricity bill could be as much as £250 higher than a year ago.

Over 2008 energy prices have risen by an average of 42 per cent as oil prices have pushed up gas prices.

Despite oil prices now dropping from almost $150 a barrel to $50, household energy prices have not followed suit and average annual bills now stand at £1,293.

As such, uSwitch.com, predicts even if energy prices drop ten per cent a household will be paying over £250 or 28 per cent more for their energy than they were at the beginning of 2008, while a 20 per cent would leave households paying £122 or 13 per cent more.

A ten per cent cut would shave £129 off the average household energy bill, while 20 per cent would reduce bills by £259.

uSwitch further warns if the reduction comes towards spring 2009 it could also be too late to help people struggling with this year's winter fuel bills - being forced to bear the full brunt of this year's price rises while using more energy to heat their homes.

Ann Robinson, director of consumer Policy at uSwitch, said: "Rumours of price cuts tomorrow could be enough to stop consumers from cutting their own energy bills today.

"This is a wasted opportunity as consumers are yet to feel the full impact of this year's price rises in their winter bill, but still have time to do something positive about it."

She added: "Rather than waiting for suppliers to reduce prices, I would urge all householders to take action now by ensuring they are paying the lowest possible price for their energy and learning to use less of it.

"Moving to dual fuel, paying by direct debit and signing up to an online plan will all help save money - in fact switching to a competitive plan could save you up to £350."

She added simple measures such as using energy efficient light bulbs, switching lights off and not leaving TVs and DVD players on standby will help reduce the amount of energy you use.


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