Millions of British households are bracing for a sharp rise in energy costs as Ofgem, the energy regulator, confirms an increase in the price cap. This adjustment will push average annual bills up by £94, placing further strain on families already grappling with the cost-of-living crisis.
Why Are Energy Bills Rising?
The new price cap, set to take effect in January, reflects higher wholesale energy costs and increased network charges. Ofgem stated that the adjustment is necessary to ensure suppliers can continue operating sustainably while protecting consumers from sudden price shocks.
Who Will Be Affected?
Around 29 million households on standard variable tariffs will see their bills increase. Prepayment meter customers, often among the most vulnerable, will also face higher costs.
Government Response
Ministers have faced mounting pressure to intervene, with campaigners warning that the hike could push more families into fuel poverty. A government spokesperson said: "We recognise the challenges households face and continue to monitor the situation closely."
What Can Consumers Do?
Energy experts recommend:
- Checking for potential savings by comparing tariffs
- Ensuring homes are properly insulated
- Exploring government support schemes
Charities have urged those struggling to contact their suppliers about payment plans and to check eligibility for additional support.
