Energy Bills Set To Soar As Price Hike Kicks In Today

The PM and chancellor have been branded 'shameful' for not doing more

- Anna Isaac Simon Murphy

Five million households will be forced to spend at least 10 per cent of their budget on energy bills after today's price cap hike, according to the latest analysis. The prediction comes as the limit on bills leaps by 54 per cent, adding an average of £693 a year to the cost for those on default tariffs.

A number of major energy suppliers websites crashed yesterday as customers raced to submit meter readings ahead of the increase. Users reported being unable to access the websites of energy giants such as British Gas, SSE, EON, and EDF.

The price rises will double the number of households in “fuel stress” a term for those spending 10 per cent or more of their income after housing costs on energy bills - overnight from 2.5 to 5 million in England alone, according to the Resolution Foundation think tank. The figures account for chancellor Rishi Sunak’s recent intervention to ease the impact.

With the price cap expected to rise sharply again later this year, the think tank said a further 2.5 million households could fall into “fuel stress” in the autumn unless more support is provided, bringing the total to 7.5 million. This is based on an estimated £500 increase in the price cap on 1 October.

Shadow climate change secretary, Ed Miliband, hit out at the prime minister and Mr Sunak for not doing more to help. “On the day when energy bills rise by record amounts for millions of families, it is shameful that Boris Johnson and Rishi Sunak are refusing to go further to support the British people facing a cost of living crisis," he said.