Home Business News Millions of Brits are suffering with ‘fuel stress’ as soaring energy bills are unaffordable for many

Millions of Brits are suffering with ‘fuel stress’ as soaring energy bills are unaffordable for many

by LLB political Reporter
17th Jan 22 2:35 pm

A think tank has predicted that many families across the UK are spending at least 10% of their household income on energy bills which are steadily rising.

The Resolution Foundation has said as many as 6.3m households are suffering with “fuel stress” in England as energy bills are very much unaffordable for millions.

Predictions that the energy price cap could rise by more than 50% this April by around a whopping £2,000 a year, as Ofgem are to announce in February the new price cap.

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Jonny Marshall, senior economist at the Resolution Foundation, said, “Rising gas prices are causing energy bills to soar, and will see the number of families suffering from ‘fuel stress’ to treble to more than six million households this summer.

“Fuel stress levels are particularly high among pensioner households, and those in poorly insulated homes – a stark reminder of the need to modernise Britain’s leaky housing stock and curb national dependency on gas for power and heating.

“The Government can take action by targeting support at lower-income households via benefits or a bigger and broader version of the Warm Homes Discount. They should also temporarily transfer the cost of environmental levies onto general taxation, as well as spreading the cost of supplier failure over three years.

“While not cheap at £7.3 billion, this plan is affordable, and by cutting bills by up to £545 would help prevent the upcoming rise in energy bills turning into a cost of living catastrophe for millions of families.”

The Government is listening to consumers and businesses on how to manage the cost of energy.

A Government spokesperson said: “The energy price cap is currently insulating millions of consumers across the UK from high global gas prices.

“We recognise people are facing pressures with the cost of living, which is why we are taking action worth more than £4.2 billion, including the Warm Home Discount and Winter Fuel Payments.”

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