Every household in Britain knows what is coming and they are braced for impact. The energy price cap will rise on October 1 and we'll know by how much in less than a week.
Ofgem, the energy regulator, is set to announce the rise on Friday (August 26). It is expected to soar to around £3,600 for the average household - a steep increase on the current £1,971 the average household is paying.
And that's not the end of it as further rises will be announced for January 1 and for April 1- with the latest forecast suggesting annual bills could rise to £6,000 per year for the average household.
The energy price cap, which is set by Ofgem, only limits the profits that energy suppliers can take. It does not protect customers from runaway wholesale energy prices.
The Office for National Statistics found 45% of adults who pay energy bills found it very or somewhat difficult to do so in the first half of August. So imagine what's going to happen when the increases hit more than 20 million households in the UK.
The winter will prove tough for everyone with an energy bill to pay, and those on the lowest incomes are set to be the most impacted.
A Government spokesman said: “We know that rising prices are affecting how far people’s incomes go, which is why we have taken action to help households with £37 billion worth of support, which includes targeted support to help people through the difficult winter ahead.
“Eight million of the most vulnerable households will see £1,200 extra support, provided in instalments across the year, and everyone will receive £400 over the winter to help with energy bills.
“That’s on top of action earlier this year, including a record fuel duty cut and a National Insurance cut worth up to £330 a year for the typical employee.
“We are also working closely with the NHS at pace to ensure we are ready for the pressures ahead by increasing capacity, boosting NHS 111 and 999 support, tackling delayed discharge and using new innovations such as virtual wards.”
Shadow health secretary Wes Streeting said: “NHS leaders are absolutely right to raise concerns about the impact on health. The Vaccines Minister has admitted that elderly people unable to heat their homes this winter will be at greater risk of flu and other illnesses.”
