Home owners have been lagging their lofts in record numbers

Home owners have been lagging their lofts in record numbers in recent weeks in an attempt to cut down on escalating fuel bills, according trading figures.

There has been a 40 per cent jump in the amount of loft insulation sold between June and August

DIY shops and builders' merchants report that they have sold record amounts of insulation products to consumers concerned about their heating bills this winter.

According to GfK, a leading market research firm that monitors retailers' trading, there has been a 40 per cent jump in the amount of loft insulation sold between June and August, compared to the same period last year.

Daniel Fearnley, at GfK, said the scale of the sales boom was surprising considering the DIY market had been hit hard by the housing market slump. Sales of most home improvement products have fallen by at least 10 per cent in the same period.

However, with the average annual gas and electricity bill shooting up from £970 to more than £1,400 since the start of the year, many consumers have taken action to limit their costs.

Jeremy Bird, managing director of Wickes, which sells building products to tradesmen as well as DIY enthusiasts, said: "There's been so much talk about energy bills, and lagging your loft has always been one of the best ways to save money.

"The pay back is pretty quick for a customer, especially if they are prepared to install it themselves. It's a pretty hot and messy job, but one worth doing."

According to the Energy Savings Trust, the installing loft insulation yourself costs £250 on average, but should save a medium-sized household £155 a year on their gas bills, or even more, considering gas bills continue to rise.

Mr Bird said that his company had seen a strong pick-up in customer numbers over the summer – not from builders, many of whom can not find work because of the housing slump – but from DIY customers.

Paula Owen, at the Energy Saving Trust said: "If your loft is un-insulated, about 15 per cent of what you're paying for your heating could be escaping through your roof.

"If everybody in the UK who could install 270mm of loft insulation – nearly a foot's worth of lagging – we would save £556 million each year."

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Energy efficient households 'can save £270 a year'

The average home can save £270 a year by being energy efficient, according to the Energy Saving Trust.

The organisation offers these tips to help people cope with rising energy prices.

* Look for cavities - around 33% of the heat lost in an uninsulated home is through the walls, so insulating them can be one of the most cost-effective ways to save energy in the home. Not all buildings are suitable, but if a house was built between the 1920s and 1980s it could be a candidate for cavity wall insulation, saving up to £120 on annual heating bills.

In a house built before the 1920s, with solid wall construction, and if repairs are needed to walls or rooms, a householder could instal internal or external wall insulation, saving around £380 a year on heating bills.

* Have the boiler checked regularly. If it is not broken, it still might need fixing. Boilers usually break down in winter so it is essential to check it in the summer. If the boiler is more than 15 years old, it is probably time it was replaced with a new energy efficient one. High efficiency condensing boilers are the most energy efficient and will save around a third on heating bills straight away, and even more if upgraded to modern controls.

* Fridge freezers are the most hardworking appliances in kitchens - UK households use £1.8 billion worth of electricity on refrigeration and freezing alone every year. To help cut costs, do not leave the door open longer than necessary, as cold air will escape. Avoid putting hot food into the fridge, defrost the freezer regularly and check the door seals are working properly.

* Look out for the energy saving recommended logo when buying new electrical appliances. The logo appears on a growing range of products - from light bulbs to laundry appliances, indicating the most energy efficient appliances which are also cheaper to run. Replacing an old, energy inefficient fridge-freezer with a new energy saving recommended one could save up to £34 a year.

* An insulating jacket for hot water tanks costs only a few pounds and pays for itself within months. Fit one that is at least 75mm (3") thick to save around £30 a year. If every UK household fitted a jacket on their tank tomorrow, that would save around £130 million of energy every year.

* Close the curtains at dusk. That stops heat escaping through windows.

* Buy energy efficient light bulbs. Priced from just £2.00, energy efficient light bulbs last around 10 times longer.

* Double glazing cuts heat loss through windows by 50% and could cut heating bills by up to £110 a year.

* Loft insulation keeps the heat in a house. If a loft is uninsulated, about 15% of what a household is paying for heating could be escaping through the roof.

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Domestic Energy Bills: Help At Hand

As the Government warns there will be no handouts for those struggling to cope with soaring fuel bills, National Energy Action offers tips on where to turn for help.

Is there any help available?

Yes. The key is knowing where to look and to phone around.

What is the first step?

The best thing to do is to phone the free Home Heat Helpline on 0800 33 66 99.

They have experts who can give you advice on grants and how to save money on your heating bills by making your home more energy efficient.

If you are worried about a relative or friend, perhaps someone who is elderly or vulnerable, it’s not a problem – you can call for yourself or on behalf of someone else you are concerned about. This line is open 9am–8pm Monday to Friday and 9am–3pm on Saturdays.

The Citizens Advice Bureau is very good for people who are worried about debt problems.

You should also contact your local council and see what help they can offer. Many local authorities offer grants for insulation and energy efficiency measures.

Does Nea recommend that customers contact their supplier to let them know their concerns?

Yes this is one of the first things you should do. A lot of people who are struggling to pay their bills are not paying the cheapest price for their energy.

This is because they don’t have access to the internet or bank accounts so can’t access the cheaper online or direct debit deals. Suppliers may be able to put you onto a more favourable tariff or give you a cash rebate.

They also offer discounted or free cavity wall and loft insulation and other energy efficiency measures to their customers which could help to reduce your bills by 30%.

All suppliers in theory offer some sort of social assistance to customers. Unfortunately the eligibility criteria vary so it’s not always easy to see what’s available. The best thing is to phone them up and see what they're offering.

Are there any Government-assisted programmes that can help?

Warm front is a great scheme for people on benefit.

It gives you a benefit check to see if you can increase your income. And, if you are eligible, it will give you grants for insulation and heating systems.

What about options for long-term energy-saving plans?

Energy saving Trust(0800 512 012) is geared more towards the able-to-pay customer who wants to invest in order to save.

Is it possible to compare deals offered by different suppliers?

You can look at websites like Energywatch and Uswitch. You type in your details and they will give a basic price comparison.

Is it easy for anyone to switch companies?

Every day about 1000 people are pushed onto prepayment meters because of debt and are then effectively barred from switching suppliers.

The problem is that the prices on a prepayment meter are a lot higher - on average £203 a year higher than the cheapest available deal.

So ironically we have a situation where the people who are least able to pay are the ones paying the most for their energy.

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It pays to stay online as web-only tariffs prove the cheapest option ... but for how long?

Customers who pay quarterly could save money by switching to a little-known and relatively small energy supplier, Ebico - Britain's only not-for-profit power company. Ebico is currently appearing as the second-cheapest provider, with the average household paying £962 a year in bills, and could suit consumers who don't want to stay with giant utilities firms.

Ebico uses Scottish and Southern as its supplier but works on the premise that every customer pays the same rate, regardless of whether they pay by direct debit, prepayment or quarterly.

'Other companies give direct-debit customers discounts, but we try to give everyone discounts,' says Phil Levermore, managing director of Ebico. 'Even if energy prices are rising, we will still treat customers in a fair way.'

Since other providers have pushed their prices up, Ebico has shot up the best-buy tables, according to Todd - but that too might not be for long.

'Scottish and Southern Energy is expected to be one of the last companies to raise prices, and while Ebico is a good company, they too will be raising prices later this year,' he says.

Levermore adds: 'With retail prices heading upwards, it's quite likely our prices will be rising too. That said, we're the only not-for-profit energy company and we believe in offering the fairest deal in the market.'

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