Households have been warned that energy bills could skyrocket again next year after the October price cap was finally confirmed.
Analysts at Cornwall Insight are predicting the Ofgem price cap could hit £5,386.71 in January, before rising again to £6,616.37 in April.
This means households could end up paying roughly £551 per month on average - although the April prediction is less certain than the January figure.
It comes as Ofgem announced its price cap will rise from £1,971 to £3,549 in October - up 80% and piling more pressure on families.
The news today has sparked more calls for the Government to take further action in supporting households - with the price cap rise typically £750 more per year than help measures in May were based on.
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Cornwall Insight said: “A key focus for the next Prime Minister and for Ofgem must be protecting consumers, and the wider economy from the impact of this rise.
“There are several avenues that can be explored including a review and expansion of the current support package of at least £400 per household.”
Sara Ogilvie, policy director at Child Poverty Action Group, warned how the price cap rise will “terrify many low-income families”.
She added: Their budgets have been overstretched for months, and soaring prices will make it practically impossible to escape the tightening grip of poverty.
"We know that families with children spend 30% more on energy bills than households without kids - yet Government has completely failed to recognise the extra costs facing households with children.”
New Ofgem price cap rates for October in full
The price cap in October will rise to £3,549 for those on default tariffs paying by direct debit.
For those paying by prepayment meter - typically vulnerable households or those struggling to pay for their energy - there is a bigger jump from £2,017 to £3,608.
Standard credit customers - so where you pay once you've received your bill - will see their price cap rise from £2,100 to £3,764.
The price cap sets a limit on the rates a supplier can charge for each unit of gas and electricity you use.
It also sets a maximum rate for the daily standing charge, which is what you pay to have your home connected to the grid.
Despite what its name suggests, the price cap isn’t actually a cap on your energy bill.
The price cap represents a customer with typical usage, paying by direct debit.
This means your total bill is still determined by how much energy you’re using - use more, and you’ll pay more.
The price cap is altered every three months, in January, April, July and October.
This means the next time it will be reviewed will be for the January price cap.
