Ofgem today announced its latest price cap on energy bills and households will see their gas and electricity cost rise to £3,549 on average from October.
If you're on a pre-payment meter, that figure will be even dearer at £3,608 (currently £2,107).
Standard credit customers - so where you pay once you've received your bill - will see their price cap rise from £2,100 to a staggering £3,764, working out as the most expensive way of paying.
It's money that most of us can't afford - but why has it gone up so much? We explain.
Are you worried about rising energy bills? Let us know: mirror.money.saving@mirror.co.uk
Why energy bills have gone up so much?
It is mostly down to rising wholesale prices. This is the price suppliers pay for things like oil and gas, which are needed to create energy.
This makes up just over half of your energy bill.
After the worst of the pandemic, demand for energy has increased and the price for oil has soared, with various economic factors at play.
By December last year, 28 energy suppliers such as Bulb went bust after being unable to bear the extra costs.
More recently, the war in Ukraine has also had a dramatic impact on prices.
Many European countries, including the UK, have relied for years on Russia for oil. Since war broke out earlier this year, oil prices have spiked as Russia found itself financially cut off from the world and world leaders expressed their support for Ukraine.
Currently, the UK gets 4% of its gas, 9% of its oil and 27% of coal from Russia.
Why is it going up again in October?
Energy prices typically rise in the winter months as the days get shorter and colder, boosting demand.
Meanwhile, energy from renewable sources like solar panels wanes in the winter months, increasing our reliance on oil and gas.
But as the war in Ukraine rages on and shows no sign of abating yet, energy prices look set to continue in an upwards trajectory.
The Ofgem cap on bills is once again predicted to rocket next year to as much as £6,616.37 – meaning bills could be as much as £551 a month.
While the Government pledged a £400 discount in May to help UK households with their bills, many experts say this will not be anywhere near enough to cushion the blow for those already-struggling.
Leaders are also being urged to increase investment in renewable energy resources, such as offshore wind farms, so we can edge away from relying on Russia.
