The Energy Announcement – what does it mean?

Ofgem announced today that energy pricing is set to rise in January 2024.

Updated January 24th 2024


On Monday 1st January 2024, The Energy Price Cap rose by 5% on average. This means that the typical annual household bill has risen from £1,834 to £1,928.


What is the Energy Price Cap?

The Energy Price Cap was introduced by Ofgem in 2019 to control what households pay for energy. The cap is the maximum amount energy suppliers can charge you for standing charges as well as each unit of energy if you are on an SVT (Standard Variable Tariff). 

It is reviewed and updated every three months based on a households ‘typical’ usage and the costs suppliers face for providing energy. It can go up or down, or the government could remove it entirely.

Remember it’s the rates that are capped, not your bill. So if you use more – you pay more (Unless you’re a Bunch fixed/unlimited customer!)


What Should I Do?

We suggest you check your current energy tariff and provider and speak to them about the best tariff they can offer you. Ofgem has also recommended that customers shop around to find the best tariff for them. At Bunch we are offering all customers access to our cheapest Fixed and Unlimited packages so they can secure a competitive price now that will keep them in control of their bills long-term. You can request a quote here or book in a call with one of our experts here.



Energy pricing is set to rise in January 2024.


Ofgem announced today that energy pricing is set to rise in January 2024. A typical annual household bill would go up from £1,834 to £1,928, a rise of £94 or 5%.


What does this mean for me?


Wholesale prices are increasing so it’s costing suppliers more to buy energy. This rise in purchasing energy is typically passed onto the end customer, us. If you are one of the 25 million UK residents on a Standard Variable Tariff you are likely to see your energy bills increasing as suppliers increase your standard charges and unit rates, those are charges in place before you use any energy.


Why is this happening now?


Ofgem said the rise was caused by rising wholesale gas prices, which had been affected by world events “including the conflict in the Middle East”. This isn’t an ideal time for this to be happening to customers as we enter the coldest months of the year and energy usage will certainly increase.


Ofgem’s chief executive, Jonathan Brearley, said: “This is a difficult time for many people, and any increase in bills will be worrying. But this rise – around the levels we saw in August – is a result of the wholesale cost of gas and electricity rising, which needs to be reflected in the price that we all pay.

The BBC stated that household energy prices will rise in January putting more financial pressure on bill payers at the coldest time of year.


What should I do?


We suggest you check your current energy tariff and provider and speak to them about the best tariff they can offer you. Offgem has also recommend that customers shop around to find the best tariff for them. At Bunch we are offering all customers access to our cheapest Fixed and Unlimited packages so they can secure a competitive price now that will keep them in control of their bills long-term. You can request a quote here or book in a call with one of our experts here.


Want to find out more about what the energy market is up to? Check out these trusted sources here:

Helping you achieve financial security and independence. The Bunch.

Blog archive.

Homely Living Room in a Boho/Art Deco style.

7 easy steps to make your rental a home

Feel like you’re bored of staring at plain white walls? Do you dream of your rented flat or house having …

Festive Events Near You – Bunch Picks

Are you in the mood for some festive fun? From Christmas markets to stunning light displays, here’s four of the …

Leaving the house

How Do I Save Energy When Away?

Whether you are visiting family for Christmas or on a summer holiday abroad. There are times during the year where …

Ofgem announced today that energy pricing is set to rise in January 2024.

The Energy Announcement – what does it mean?

Updated January 24th 2024 On Monday 1st January 2024, The Energy Price Cap rose by 5% on average. This means …

Fixed vs SVT vs Unlimited – which tariff do I pick?

What energy tariff is right for me? When choosing an energy tariff it’s important to think about your own circumstances …

Sky TV Packages- Bunch Elevates Entertainment Choices

We are thrilled to announce our latest partnership with Sky TV, bringing a variety of premium packages to our offering. …

Dance Music Event Picks In Your City

With the excitement of University term just around the corner, we thought we would pick out one club night / …

6 Tips for Moving into a New Shared House

Moving into a new shared house can be both exciting and nerve-wracking, as you embark on a new chapter of …

University Halls – Our Ultimate Guide Of What To Pack

Starting university is an exhilarating experience filled with excitement and anticipation. But it can also be a daunting time where …

Summer Escape

Wanting to escape the rain of the UK on a budget? We’ve done the hard work for you and rounded …

How To Boost Your Credit Score

We’ve teamed with Canopy to help our customers at Bunch who may be applying for their first mortgage in the …

What is Unlimited Energy?

What is Unlimited Energy? An Unlimited Energy Tariff is a pricing plan offered by some energy providers that allows consumers …

Ideal Part-Time Jobs For Students

As a student, it can be hard finding the right job that you can balance with your studies. That’s why …

5 Mood Boosting Tips For February

As a student, it can be hard keeping your head up sometimes, especially in the winter. When you’re feeling low …

Downing Street Pre-Drinks For Poundland Prices

After all the stress of exams most of us want nothing more than to celebrate it finally being over! With …

5 Steps To Better Budgeting

In order to take control of your finances and spending, creating a budget is key. It means you don’t have …

graphic for The Bunch's Christmas Working Hours

Bunch’s Christmas Working Hours

While the full team will be taking a break on the bank holidays over Christmas, we will be operating a …

vegetables and fruit from paper bag | Christmas Deals everyone should know about

2021 Christmas Deals Everyone Should Know About

Christmas is a time for celebration, presents and great food. But normally these come at a cost, so it’s also …

picture of the founders of The Bunch

The Bunch partners with UK’s largest student accommodation search platform

Bristol-based utilities scale-up The Bunch partners with StuRents, the UK’s largest student accommodation search platform, to provide users with all-inclusive …

The Bunch team collecting Growing Business Award after closing investment round.

Investment round as The Bunch and wins national award

Bristol-based utilities scale-up The Bunch has closed its latest investment round in just eight days, amid continued expansion for the …

The Bunch team tasting sandwiches

Christmas Sandwich Tasting 2021

The battle of the Christmas sandwiches: exclusive ratings from The Bunch Team It’s the most wonderful time of the year! …

5 Ways To Save Energy This Winter

It is important for you to really understand how your energy consumption affects your usage levels – and ultimately, your …

5 Ways To Earn Extra Money As a Student

If there’s one thing that seems to be on the mind of every university student no matter the age or …

How To Make Your Student House a Home

by Becky Firth (HYBR’s Editor-In-Chief) University can feel like a huge step up from college and high school. Living away …

7 Things To Do When Moving Out Of Your Student House

Picture this – your exams are finished, the sun is shining and all you have to think about is which …

annoyed person with dirty dishes | Picking the right new housemate

8 Things To Consider When Picking Your New Housemate

If there’s one thing that this year has taught us, it’s that your environment is pretty important. There’s something about …

7 Things To Do When Moving Into a Student House To Protect Your Deposit

After a year of living in halls, there’s nothing more exciting than finding the perfect student house. Whether you’re planning …

8 Ways To Improve Your Wi-Fi On a Budget

Here at The Bunch, our job is to help remove some of those mundane stresses of student life, and what …

meter readings shown graphically

Guide to Meter Readings

Sending regular meter readings is the best, and only, way for you to get accurate energy bills for your property. …

graphic of The Bunch going green 2020

The bunch is going green in 2020

As we settle into the new decade, it is hard not to reflect upon the last ten years and the …

Picture of vegan food | Best Vegan spots in Bristol

The Best Veggie And Vegan Spots In Bristol

In this series of articles, we will be visiting three big university cities, Bristol, Manchester and Leeds, and choosing the …

cartoon character on soil | Article "Energy Saving Tips in Your Student Home"

Energy Saving Tips In Your Student Home

When you move into your own house for the first time as a student, there is no longer a parent …