Energy Prices – Future Increases
You may have read in the news that Ofgem predict domestic energy bills will rise faster this winter than previously forecast.
The energy price cap is the maximum amount suppliers can charge customers in Scotland, England and Wales, for each unit of energy. It is adjusted by Ofgem every three months and is based on the price that energy suppliers pay producers for electricity and gas. Energy prices have risen sharply because the demand for gas increased when Covid restrictions eased, and because the war in Ukraine has threatened supplies from Russia.
October’s price cap is due to be announced at the end of August and energy experts predict the average annual bill will reach £3,582 (or £298.50 if you pay monthly). And in January 2023, the next time the cap is due to be changed, it is expected to go up again to around £4,266 annually (or £355.50 each month).
This is clearly a worrying time for everyone with the cost of living continually rising. Many people who did not have to worry too much about paying their bills are now having to carefully consider how they are spending their money so that they can adequately heat their homes this winter.
If you are concerned about the increasing cost of energy and how you are going to be able to pay your bills, there is lots of help available. Get in touch with us by using the contact form in My Home, or calling us on 01620 825032 and follow the options for Housing.