An urgent warning has been issued as a movement against paying energy bills grows.
The Don't Pay UK campaign is urging bill payers to stop paying their energy bills from October 1 if there is no intervention amid rising energy bills. As the cost of living crisis continues, Money Saving Expert Martin Lewis has already warned of a 'bleak winter' as energy price cap is set to rise further.
But as millions across the UK are already facing financial struggles, Regulator Ofgem confirmed its price cap would be reviewed every three months. There are predictions the price cap, currently £1,971 a year, will jump to £3,523 in October, then up again to £4,210 in January, Yorkshire Live reports.
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In response, Don't Pay UK is calling on energy customers to take a stand, even though it could risk customers being disconnected. But in response, the Don't Pay UK campaign is aiming to get one million households to pledge to not pay their bills in an attempt to force energy companies to slash bills.
The campaign's website states: "It's simple: we are demanding a reduction of energy bills to an affordable level. Our leverage is that we will gather a million people to pledge not to pay if the government goes ahead with another massive hike on October 1st.
"Mass non-payment is not a new idea, it happened in the UK in the late 80s and 90s, when more than 17 million people refused to pay the Poll Tax – helping bring down the government and reversing its harshest measures. Even if a fraction of those of us who are paying by direct debit stop our payments, it will be enough to put energy companies in serious trouble, and they know this."
However, Jonathan Brearley, CEO of Ofgem, has warned people not to sign up to the campaign. In an interview with BBC Radio 4's Today programme earlier this month, he said everyone is "extremely worried" about paying their bills, but he does not encourage signing up to the campaign.
He added: "First of all, it will drive up costs for everyone across the board. And secondly, if you are facing difficulty in paying your bill, the best thing you can do is get in touch with your energy company."
Financial campaigner Jack Monroe responded to Ofgem's comments saying: "Based on the latest quarterly reports from the energy companies, even if the entire 22% of people in poverty in the UK didn’t pay their bills, the big companies would STILL turn over a hefty profit. Unconscionable extortion. Wonder which MPs have shares in the energy sector?"
Citizens Advice has also issued advice for people considering not paying their bills and has warned people they could be forced to have a pre-payment meter, or face disconnection. More information on how to get help with bills, can be found on their website.
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