A report by the bank Investec has warned the Ukrainian and Russia conflict could see household bills top £3,000 across the UK from October this year.
The surging world wide demand has forced gas and electricity prices to soar and now the eastern European crisis is adding more chaos.
Investec has said the energy price cap is expected to household pockets by £3,238 a year when the adjustment kicks in from October.
Investec analyst Martin Young warned that this will affect around 22 million households across the UK which will be “devastating” for many families.
The analyst warned the increase will “plunge many people into fuel poverty,” with so many families facing an “eat or heat dilemma in the winter season.”
“Absent sharp and significant declines in wholesale prices, we expect a significant jump in the cap in October,” he said.
Following Russia invading Ukraine, fears that Russian troop build up on the Polish border could spark another conflict with the world and threats to Finland and Sweden on Saturday prices are rising higher.
Many world leaders have placed severe sanctions on Vladimir Putin and his country which has expressed fear this could push Putin to “weaponise” his oil and gas resources by constricting the supplies to European countries, which would then drive up wholesale prices globally.