Our price change guide

Find out what it means for you.

Our gas and electricity prices will be going up on 1st December 2013 and we want to be open about why it’s happening.

The reasons behind the rise

Our forward view of the energy market show that there are three main reasons why customers' energy bills are rising:

1. New government schemes
We now have to pay 31% more in taxes to carry out new government environmental and social schemes than ever before. There are a number of schemes such as Eco and Green Deal that we’re obliged to support and we’ll continue to keep you informed about these schemes and how you could benefit from them if you’re eligible.

2. Higher distribution costs
The cost of delivering energy to customers’ homes has increased by 10% and now stands at approx £314 per dual fuel customer.

3. Commodity costs
The cost of buying wholesale energy is set to increase 3% from this year.

Our Tariff Charter

Find out more about our tariff charter

We’re contacting our customers with individual details about the effects that our price increases will have on households.

If anything in your letter is unclear or you have any concerns, please read through the information on this site and take a look at our tariff charter. You can still contact us if you have any questions that these pages haven’t answered for you.

Download our Tariff Charter (PDF, 900K)

Our commitment to making energy simpler and easier for customers

Paul Massara, CEO RWE npower said:

 
Paul Massara - CEO npower
"I know that any increases to household bills are always unwelcome, and this is not a decision that we have taken lightly. We will continue to take steps where we can to reduce the impact of the external influences on energy bills.

We only aim to make around 5 pence in every pound (5%) in our retail business which we feel is a fair return for delivering reliable energy to consumers and for the risks that we bear.

We understand that although the Labour Party’s proposed price freeze may appear superficially attractive it will not lead to lower sustainable prices going forward because it doesn’t cut the growing costs of supplying energy. Only 16% of the bill is under our control and imposing price controls discourages investment, increases uncertainty and ultimately leads to higher prices.

npower is committed to working with consumers, government and industry to deliver a modernised energy market which is affordable for customers and has a lower CO2 content. It is therefore essential that we have an open and honest conversation with customers about how they can take control of their bills and reduce energy consumption."

What you’re actually paying for

The vast majority of what you pay for your gas and electricity is outside our control. Only a very small proportion is directly under our influence. The diagrams below show how a typical dual fuel customer’s bill breaks down:

Electricity bill costs

Profit 5%, VAT 5%, cost of buying energy 35%, cost of government schemes 13%, cost of serving you 15%, cost of supplying to your home 27%.

Gas bill costs

Profit 5%, VAT 5%, cost of buying energy 48%, cost of government schemes 4%, cost of serving you 13%, cost of supplying to your home 25%.
 

Electricity bill costs

  •  13%
    Cost of Government Schemes
  •  15%
    Our operating costs
  •  27%
    Cost of getting power to your home
  •  35%
    Cost of buying energy
  •  5%
    VAT
  •  5%
    Profit

Gas bill costs

  •  4%
    Cost of Government Schemes
  •  13%
    Our operating costs
  •  25%
    Cost of getting power to your home
  •  48%
    Cost of buying energy
  •  5%
    VAT
  •  5%
    Profit
 

These breakdowns are based on an estimate of costs at Ofgem’s annual average consumption (3,200 kWh for standard rate electricity and 16,500 kWh for mains gas).

Protect your energy prices

We realise that putting our prices up is never good news for our customers so we wanted to show you how you could avoid a future increase in your bills.

To help you manage your energy outgoings and have more control over the prices you pay, we’ve a selection of fixed price tariffs for you to choose from, such as our:

Price Protector December 2017
Fixed electricity and gas prices until 31st December 2017

  • Protect your energy prices until 31st December 2017 when you pay by Direct Debit or on receipt of your bill
  • Receive a £90 discount each year if you pay for both electricity and gas by Direct Debit
  • No early exit fee.

Your electricity and gas prices will be fixed at the rates you sign up to, so you’ll not see any price rises before 31st December 2017.

Price Protector December 2017 is available to new or existing customers with standard credit or Economy 7 meters paying by monthly or quarterly Direct Debit or on receipt of bill. Unfortunately however, it’s not available to customers with non-standard or pre-payment meters.

You’ll benefit from a £90 discount each year if you choose both gas and electricity with npower and pay for both by Direct Debit. This amount will be spread over the year, so you’ll get a daily discount which will be taken off your standing charge.

You can opt to receive paperless bills and register for an online account which enables you to view your bills, make payments, submit meter readings, track your energy usage and update your personal details.

Our charges

A standing charge applies to this tariff.

Your prices are fixed at the rates you signed up to until 31st December 2017 when you’ll revert to our cheapest standard variable tariff applicable to you at that time. Our charges for the average dual fuel direct debit customer are at least 2% lower on an annual basis when compared with our new standard charges (effective 1st December 2013), until 31st December 2017. Annual charges for individual customers will vary.

You can switch tariff or supplier at any time, with no early exit fee. After the 31st December 2017, you’ll automatically move to our cheapest Standard variable tariff applicable to you at that time.

If you pay by Direct Debit you’ll pay the same unit rate for energy used as receipt of bill customers, but will benefit from a reduced standing charge. Direct Debit customers choosing not to pay in that way, or who are no longer able to pay in that way, will no longer be eligible for the discounted standing charge but will be given at least 30 days notice that their standing charge will increase.

Terms and conditionsopen/close

Price Protector December 2017: Requires a residential contract with npower for electricity and/or gas on our Price Protector December 2017 tariff entered into on or after 21/10/13, paying by monthly Direct Debit, quarterly variable Direct Debit or on receipt of bill. Prices will be fixed until 31/12/17 (providing no charge or cost is imposed by or as a consequence of any action, order, decision or imposition by any governmental, statutory or licensing authority, and, when added to our charges, this causes our prices to exceed the fixed price) but may change for you if your payment method or meter type changes or you don’t continue to meet the eligibility criteria of the tariff. Offer subject to availability and may be withdrawn, suspended or amended at any time – full terms and conditions available at npower.com. Correct as at 21/10/13.

Your discount: If you pay by Direct Debit, your daily standing charge will be discounted so that over a year you’ll receive a discount of £40 on your electricity charges and £50 on your gas charges for paying by Direct Debit. If you stop paying by Direct Debit, you’ll move on to the non-discounted version of your tariff. If this happens, we’ll let you know. Your discount will be credited to your account on a daily basis. Subject to change.

Meter read reminders: We’ll use the reading(s) you supply to produce your next bill whenever possible. There may be some circumstances when it isn’t possible to use your meter reading and in this case we’ll estimate your consumption. Our agents will still require access to your meter to take readings and for safety checks. The meter reads you supply will be in addition to our own meter reads and will be used to provide the most up-to-date view on your statement.

Get a quick, no hassle, no obligation quote

 
Freeze your prices.

FREE energy saving improvements with the Energy Companies Obligation (ECO)

You could qualify for FREE energy saving home improvements, such as an energy efficient boiler or loft insulation (subject to eligibility criteria). We can also provide support to help make your home more energy efficient.

For full details about the free help that is available, and to see if we can help you:

Find out if you qualify

Energy saving advice for your home

Increasing your energy efficiency at home can be simpler than you think. There are plenty of ways to save energy that won't affect your lifestyle.

Find out more about energy efficiency

Home energy saving products available

 

Loft insulation could save up to 25% of lost energy

An old inefficient boiler could be costing you up to £310* in lost energy per year

* Energy Saving Trust, 2013

We can't stop the winter coming.
But we can help our customers get ready for it.

We’re offering our npower energy customers our hometeam central heating plan for an exclusive price of only £9 per month for the first 12 months (saving £6.50 per month as non-npower energy customers will pay £15.50 per month for the first year).

With our central heating care you will get:

  • Care for your gas boiler, controls and central heating system
  • Unlimited call outs
  • Annual boiler service worth £99, including a 30 point service and safety check
  • All repairs guaranteed for 12 months

Terms and conditionsopen/close

npower hometeam central heating care: Only available in mainland UK. Subject to eligibility. Terms and conditions apply and can be found at npower.com. This product is a 12 month contract that you would need to enter into, subject to eligibility, which shall renew automatically for a further 12 months, unless you notify us otherwise. If you cancel before the end of your 12 month care contract, we may retain and/or recover any reasonable costs/expenses incurred by us (up to the value of your remaining payments). The discounted price of £9.00 per month is available for the first year to new npower hometeam care customers who are also npower customers for their gas and/or electricity. At the end of the 12 months, we shall notify you of your renewal price (currently from £18.00 depending on region/location but subject to change) and you will have the option to cancel your renewal if required. You will not be required to be an npower gas and/or electricity customer to renew after the initial 12 month period. Offer is subject to availability and can be withdrawn at anytime. Cannot be used in conjunction with any other offers. No repairs can be carried out in the first 14 days of the first agreement period.

Annual boiler service: We will carry out an annual boiler service for each year you are on the product and where applicable this will include checks and maintenance of the central heating system.

Unlimited callouts: Provided that the boiler is not beyond economic repair. Some care products may require a fee per callout.

All repairs guaranteed for 12 months: We will guarantee all parts and labour on a repair to the customers’ appliance for 12 months from the date of the repair.

Telephone calls: Calls may be recorded and monitored for training and security purposes. Calls from BT landlines to numbers beginning with 0800 may be free. The price of calls may vary with other operators and calls from mobiles may be considerably higher. Please check with your operator for exact charges.

Be prepared this winter

 
Exclusive to npower customer, central heating care for only £9 per month for the first 12 months.
Apply for Central heating care >

Alternatively call us on 0800 975 7982

Answers to your questions

Why are prices going up?open/close

Our forward view of the energy market show that there are three main reasons why customers' energy bills are rising, these are:

  • Realising the full costs of implementing government schemes and policies. This forward view shows an increase of 31%.
  • The cost of delivering energy to customers’ homes which now stands at approx £314 per dual fuel customer, increasing by 10%. Up from £180 in 2007.
  • The cost of buying wholesale energy up 3% from this year.

By how much are you putting prices up?open/close

Prices are increasing by approximately 10.4% or £136.69 a year.

How many customers are impacted?open/close

Approximately 3.1 million customers.

I’ve just switched to npower, will I be affected by the price change? open/close

Unless you switched to npower on a fixed price offer then you’re likely to be affected by this price change.

We’ll be writing to all of our new customers to tell them if and how they’ll be affected. If you’re still within your cooling off period and no longer wish to switch your supply to npower, you can cancel your contract and stay with your current supplier.

Check if your tariff is affected