Energy bill rebates will be repaid in £40 instalments from April next year

HOUSEHOLDS will have to repay energy bill refunds in instalments of £40 from April 2023.

Chancellor Rishi Sunak today announced that all energy customers will get a £200 discount on their energy bill from October.

The support is to help struggling Brits cover the cost of gas and electricity, as bills are set to soar £693 a year for around 22million consumers.

Customers will then pay back £40 a year over five years from April 2023, when it's hoped that prices will have dropped.

The full details of how the scheme works have not yet been announced, but we'll update here when they are.

Energy regulator Ofgem today said that the price cap will rise in April, pushing bills up by almost £700 a year.

The price cap is set according to wholesale costs which have rocketed over the winter.

Chancellor Rishi Sunak told MPs this morning: "The price cap has meant that the impact of soaring gas prices has so far fallen predominantly on energy companies, so much so that some suppliers who could not afford to meet those extra costs have gone out of business as a result.

"It is not sustainable to keep holding the price of energy artificially low. For me to stand here and pretend we don't have to adjust to paying higher prices would be wrong and dishonest.

"But what we can do is take the sting out of a significant price shock for millions of families by making sure the increase in prices is smaller initially and spread over a longer period."

He also addressed Brits early this evening about the help on offer.

Energy bills have already increased and the majority of households are now on standard price capped tariffs because they are now cheaper than new fixed deals

What help can I get with my energy bills?

On top of the £200 energy bill rebate announced today, there's other help you can get if you're struggling with energy bills.

🔵 Read our Energy price cap live blog for the latest updates