Energy regulator Ofgem on Friday revealed what energy suppliers can charge households.
Despite previous forecasts and analysis of energy bills by experts and institutions, the only constant is that people will not escape the upward trend this winter.
In response, experts have called on the government to freeze energy bill prices and even raise the 1% income tax.
Energy Prices Set New Records
Ofgem has confirmed an 80.06% rise in the energy price cap.
This means that from October, users’ annual bill will increase from £1,971 to £3,549.
The cap will take effect on October 1 on default energy tariffs for around 24 million households in England, Scotland and Wales.
This will continue until December 31st, when it will be adjusted again.
According to statistics, the 4.5 million prepaid meter customers are usually the most vulnerable.
Their average annual bill will be £3,608, making the fuel starvation even worse.
A previous analysis predicted that the energy price cap would rise to more than £4,000 in January next year.
That’s an absolute record compared to today’s energy price cap of £1,971, and even much higher than last winter.
Millions of households have been hit hard by the ongoing cost-of-living crisis and face “uncontrollable” skyrocketing energy bills.
Earlier, many experts warned that the United Kingdom will face an unpredictable “disaster” without intervention.
Who Will Ease the Energy Price Burden?
Currently, several agencies plan to use different models to help families in deep financial distress.
Suppliers plan to provide financial support to customers struggling to pay, and BG expects to spend 10% of its profits helping families in need.
The government had earlier pledged £30 billion to help financially disadvantaged families get through.
Whatever way the decision is made to provide financial support to UK households is not going to be 100% certain in the short term.
It all depends on how the incoming prime minister takes steps, although strong interventions are expected to ease the financial strain on British households.
When to Get Energy Grant
We have mentioned the £400 bill subsidy promised by the government several times in previous articles.
The government will start distributing the energy bill subsidy from October, with £400 being paid in six instalments:
- Get £66 a month off in October and November
- From December to March of the following year, get a monthly discount of 67 pounds
If you want to learn how to get your energy bill subsidy, click here for past articles.