At the same time, businesses are facing the dual crunch of rising operating costs at the same time that cautious consumers are pulling back their spending due to cost of living pressures.
Health insurers, for instance, have held off on raising prices, Rigby said.
“The reality is they can only push it back so much,” he said. “Companies either have to fight harder to get them, or raise prices to cover costs.”
Here are the expenses Australians can expect to pay more for, or already are:
Energy bills
Energy bills are set to rise in NSW, South Australia and parts of South-East Queensland from July 1 after the Australian Energy Regulator (AER) increased its price cap for electricity prices in those regions it oversees.
Known as the default market offer (DMO), the energy regulator sets a limit each financial year on how much retailers can charge customers and small businesses.
Power plants in the Latrobe Valley. Australians will pay more for their energy bills come July 1.Credit: Fairfax
In NSW, households without controlled loads – electricity used by a standalone item, such as hot water systems – will be charged between 8.5 and 9.1 per cent more, which is 6.1 and 6.7 per cent above forecast inflation, respectively. Prices for customers with controlled loading will rise between 8.3 and 9.7 per cent.
Small businesses in NSW will brace for price surges up to 8.5 per cent.
Victoria’s energy regulator has said the average increase across the state will be 1 per cent, or $20. According to the five distribution zones in Victoria, retailers AustNet’s price increase will be $6, CitiPower will rise by $90, Powercor will lift by $4, and United Energy will increase by $25. Jemena will actually decrease by $26. Small businesses will cop average increases of 3 per cent, or $90.
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Individual retailers have begun announcing price changes, including Red Energy, Origin Energy, AGL and Energy Australia.
The Australian Energy Regulator cited network costs as the cause of the annual increase, including building resilience to global warming-related risks.
Energy Minister Chris Bowen said the default market offer was “encouraging news” as the final prices were lower than forecast.
“Importantly, while the DMO is the benchmark for standard offers from retailers, the AER has recorded market offers between 18 per cent and 27 per cent lower than the DMO. Households should check that they’re on the cheapest energy plan available…” he said.
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Internet and phone plans
Telco providers Vodafone, Optus and Telstra have signalled customers on some plans will be paying more.
From July 1, Vodafone will raise some older postpaid mobile plans by $4 a month, which will also cause some customers to move from older plans to Vodafone Infinite.
Most Telstra customers, who have already copped two price rises in the past 12 months, will see the price of their mobile and internet plans rise by up to $5 a month (although some NBN plans are actually decreasing in price).
NBN Co is raising its monthly wholesale plan prices from July 1, which will impact most households, with popular plans increasing by between 90¢ and $1.71 a month.
Some internet providers, such as Tangerine, More, Exetel and Superloop, have also raised prices by $1 to $5 a month in recent months.
Streaming services
From June 3, Kayo increased its standard plan price by $5 to $30 a month. Existing subscribers will pay the new price from July 1.
Insurance
Health insurance premiums usually rise every year on April 1. Customers with NIB have seen the biggest increases, 5.8 per cent, followed by Bupa (5.1 per cent). HCF customers are paying 4.95 per cent more, while Medibank and HBF initiated increases of 4 per cent and 2.8 per cent.
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But according to Canstar analysis of prices before and after April, the average cost of a Gold hospital insurance policy has jumped by an average of 13.8 per cent, or $442 for singles, and 13.5 per cent or $858 for families.
The cost of comprehensive car insurance has risen by an average of $122 over the past 12 months, according to Canstar analysis of 67,000 quotes.
Drivers in Victoria have been hit with the steepest increase, 8.3 per cent, or $225, compared with a national average of 5.8 per cent.
Comparison websites have renewed calls for consumers to review their plans, pointing to hundreds of dollars in savings if they switch to cheaper options.
“You cannot count on energy retailers to put you on the best offer – you need to compare your options and seek out savings yourself,” said Compare the Market spokesperson Sarah Orr.
The differences in quotes from insurers could run into thousands of dollars, she said.
“It’s the same when it comes to your car and home insurance. Most people will see their premium rise when renewal time rolls around, but that doesn’t mean they need to accept the price change.”
