More support is needed for households after the latest winter energy price cap increase, End Fuel Poverty Coalition coordinator Simon Francis has said.
Ofgem lifted its price cap to a three-year high of four per cent on Wednesday morning, meaning it will rise by £60 per year – or £5 per month.
That will put pressure on households heading into the winter, with Prime Minister Andy Burnham saying rising energy bills are “difficult” for people.
Francis said: “The Ofgem price cap may limit the unit rates and standing charges that consumers pay, but sadly it doesn’t cap the number of people suffering due to rising energy costs.
“As with previous rises, the price of gas is driving this latest increase. Every unit of gas used will be 27 per cent more expensive than last winter and over 150 per cent higher than at the end of 2020.
“Price rises fall hardest on the households who can least afford them, with millions forced to pay more for the same energy or ration the energy they use even further.
“Cutting VAT on electricity and last year’s extension of the Warm Home Discount was a start, but Ministers need to go further and faster in helping people.
“That means further expansion of support programmes, funding a proper energy debt relief scheme and a serious push to improve energy efficiency of the homes that need it the most.
“Yet as around five million households in the UK spend more than 20 per cent of their income on energy, just a handful of energy firms have made more than £6 billion in UK generated profits this year alone.”
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