How to manage gas bills

Gas bills may be one of your largest items of regular expenditure, particularly in winter when the central heating may be on for hours a day for months. The size of your gas bill can come as a nasty shock, but there are many things you can do to prepare for and manage your bills so you are always aware of how much you will need to pay and when.

• 1

  Compare suppliers. Use the Internet to access price comparison sites and find out the cheapest gas supplier. You will need to have your last year's worth of gas bills in front of you to be able to obtain on-line quotations. The price you are quoted may differ by area and the amount of gas you use. It may also depend on whether you are prepared to switch both your gas and electricity supplier to one provider. This is often cheaper than maintaining separate suppliers. The process is simple and can usually be done online.

• 2

  Set up a direct debit payment to pay for your gas. Many gas suppliers offer a discount for this; not only is this worth having, but a monthly direct debit payment also is an ideal way of managing your bills. The utility provider estimates your annual predicted gas usage and then splits the amount into 12 roughly equal payments. This amount goes out of your bank account automatically every month, although you will still receive regular gas bills based on meter readings. If at any stage you find you are significantly under- or over-paying in relation to the annual estimate, contact the company and ask them to make an adjustment to your monthly payment amount.

• 3

  Pay a regular monthly amount into a special savings account and pay the bill from this account every quarter. This is an alternative to direct debit payments. It requires self-discipline, and you will not benefit from any direct debit discount. However, this may be offset by interest earned on the money while it is in the account.

• 4

  Limit the amount of gas you use. Insulate your home with loft insulation, cavity-wall insulation and double-glazed windows. Thermostatic radiator valves and draught-proofing can also be highly effective. The initial cost is high for these improvements, but over time they will reduce your gas bills. Similarly, replacing an old, inefficient gas boiler is a good investment. As well as being more efficient in the amount of gas it uses, the new boiler may come with more a sophisticated thermostat, enabling you to better control your gas usage.

• 5

  Monitor your energy consumption. Many small, simple things done over time can make a big difference in reducing the size of your gas bills. Close curtains and doors, turn off radiators in any rooms that aren't used regularly and use less hot water in baths and showers. You could also turn down the thermostat by a couple of degrees and wear more clothes to keep warm while you're in the house.