Cost of bills: Britons forking out £1,316 MORE a year on energy and insurance than in 2021

Annual household energy and insurance bills have surged by £1,316 in the past 12 months according to new findings, as the cost of living crisis continues to bite.

A typical British household spent £3,280 on their energy, motor and home insurance in the year to November 2022, up from £1,964 the previous year.

These bills are also £1,461 higher than in the year to November 2020, when the average annual cost was £1,819.

Surge: Annual household bills across Britain have surged by £1,316 in the past 12 months, Comparethemarket said

Energy costs have risen the most as the average bill has surged by £1,223 over the past year, according to comparison site Comparethemarket. 

The cost of car and home insurance has also swelled by a combined average of £93, the research added. 

The typical annual household energy bill now stands at around £2,500 due to the Government’s Energy Price Guarantee. This is a £1,223 increase from levels seen in 2021 and is £1,458 higher than in the year to November 2020. 

The cost of energy bills is due to rise again in April 2023, as the Energy Price Guarantee for the average household will rise to £3,000, representing a 20 per cent increase from its current level.

Other costs including broadband, TV, and phone bills are also expected to increase in line with inflation, therefore putting further pressure on household budgets in the coming months. 

It comes as nearly two million households missed mortgage, credit card and energy bill repayments this month.

UK Inflation is at 10.7 per cent and soaring food prices are  another pinch point affecting millions of Britons. In the year to September, the average cost of budget supermarket surged by 17 per cent, according to the Office for National Statistics. 

The UK imports certain food items from other countries, so the weak pound and rising cost of energy has pushed up prices, and the war in Ukraine has exacerbated the issue.

At 10.7 per cent, UK inflation did in fact fall at the sharpest rate in 16 months in November as the momentum behind the rising cost of clothing and petrol began to ease. But, many continue to feel the full force of high prices.

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Earlier this month, figures from the ONS revealed that annual wage growth in the UK’s private sector reached 6.9 per cent in the three months to October. However, in real terms most workers have seen their pay packets fall as consumer prices have been climbing so steeply.

Hélène Barnes, cost of living expert at Comparethemarket, said: ‘Millions of households will be worried about rising costs, with many struggling to afford their regular bills and energy prices which are at their highest level in years. 

‘The cost of energy is set to increase further when the Energy Price Guarantee rises in April 2023. 

‘Most broadband, phone and TV providers are also set to raise their prices in line with inflation in April, and many households will likely face a big payment shock.

‘Before these price rises are introduced, households need to check all their regular bills to see where they could save money. 

‘Our research shows most households could save hundreds of pounds by shopping around for deals on their bills, such as car and home insurance, and could save even more looking out for deals on broadband and credit cards.’

This post first appeared on Dailymail.co.uk