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Turning Up The Heat on Heating Costs – Which is Cheaper?

Turning Up The Heat on Heating Costs – Which is Cheaper?

What is the best way to heat our homes during the winter months? With the heating constantly turned up to keep our toes toasty, it can be an expensive time of the year, so we discuss below the pros and cons of electric, gas and heating oil (supplied by our sister company, Crown Oil).

Is it cheaper to heat my home with gas or electricity?

We get asked this question over and over and there’s a very simple answer.

The cheapest way to heat a house is with gas and it’s been that way for a long time. In fact, gas is around 3-4 times cheaper than electricity, so with an efficient, modern, condensing boiler, it’s the most economical option to heat our homes.

How do we know that?

Well, to purchase one unit of mains gas (kWh), you’ll pay around 4 pence per kWh, whereas one unit of electricity from the mains costs around 15 pence per kWh.

That’s undoubtedly why 23 million homes in the UK heat their homes with gas boilers, as opposed to only 2 million that use electric storage heaters.

Electricity costs carry the majority of the environmental charges from the government which is another contributing factor to it being more expensive.

Furthermore, electricity is a function of wholesale gas that’s been burnt in a power station and used to generate electricity which then is sent down the electricity wires to heat a home.

£2,456 is the average yearly cost for heating and hot water using electricity in the UK when consuming around 13,1000 kWh.

But remember, several factors affect energy bills such as how old the house is, how good the insulation is, the efficiency of a hot water and heating system and where you’re located in the UK.

Another pointer to bear in mind is that although electricity costs more, the initial installation of electric night storage heaters is cheaper compared to gas central heating because they don’t need pipework installing. What’s more, they need little maintenance.

I’m on the gas grid but don’t have a gas connection

If you live on the gas grid and have central heating, it’s most definitely a good idea to utilise the gas and scrap the electric radiators and space heaters to cut down your bills.

If you’ve got a nearby gas supply, you’re not already connected but it’s possible to do so, that’s the best option. And getting a new gas connection doesn’t have to be disruptive.

I’m off the gas grid, what’s the best option?

This is where it gets a little more complicated. Most homes that are off the gas grid use electric storage heaters for central heating, but as discussed already, electrical heating can be expensive.

Another option is to use heating oil. Heating oil is a fuel for burning that’s designed to be used in central heating systems, furnaces and boilers that are fitted in homes (and large buildings like schools).

Heating oil costs around 6 pence per kWh. So, although it’s a little more expensive than gas, if you’re off the grid and gas is not possible, the best way to cut bills this winter is to opt for heating oil. Crown Oil (our sister company) supplies heating oil to homes all over the North West and promises to offer the most competitive prices.

Switch to a better energy tariff

Changing energy provider brings the opportunity to cut costs because the market for consumer energy is divided into two. The first half is for loyal customers who end up being stuck on expensive variable tariffs simply because they haven’t shopped around, and the second is for those who shop around and have the opportunity to move onto a much better deal.

Exploring the market could not only help you to cut down on your heating bills but it could also take 10-20% off your bills in general. But until you start looking and collecting quotes, the energy market is a mystery and you could be paying over the odds.

For over 25 years, we have been working with domestic clients for their new gas and electricity connections. Whatever your budget or time-scale is for a new gas or electricity connection, you can count on Crown Energy to get the job done.

We install all types of electricity and gas connections regardless of size. Call us today on 0161 549 8454 to find out how we can help. 

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