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Price cap change reinforces the need for a long-term plan to end fuel poverty

Last week, Ofgem announced that the energy price cap will rise by 4% from 1 October, taking the annual figure for a typical dual-fuel household paying by Direct Debit to £1,723.

The announcement may cause concern for households preparing for winter. The price cap limits the amount suppliers can charge for each unit of energy; it does not limit a household’s total bill, which depends on individual energy use.

For those already managing debt and other financial pressures, changing energy costs can make budgeting increasingly difficult. Fuel poverty is rarely caused by one issue alone; income, debt, health, housing quality and energy efficiency are often closely connected.

Tracey Talbot, Interim CEO of British Gas Energy Trust, said:
“Changes in energy costs can create uncertainty for people already managing tightly stretched household budgets. Our... Read more