Jump directly to the content
BILL BLOW

Energy bills could hit £6,500 as energy boss warns of ‘catastrophic’ winter ahead

ENERGY bills could hit an eye-watering £6,500 next year as EDF's boss has warned households are in for a "catastrophic" winter.

Consultancy Auxilione is now predicting energy bills will be set at £6,552 a year when a new price cap rolls out in April next year.

Energy bills will rocket, meaning households will want to know what help they can get
1
Energy bills will rocket, meaning households will want to know what help they can getCredit: Getty

The firm has revised its previous prediction and expects the price cap will be £463 higher than its initial estimate of £6,089.

The gloomier forecast came as Russia said it would run maintenance on a key gas pipeline - the Nord Stream 1 - that connects the country with Germany.

Concerns have been sparked that Russia may not reopen the pipeline in a bid to put pressure on Europe while the war with Ukraine continues.

"The nervousness of the market appears to increase day by day as we edge closer to winter delivery, now just five weeks away, and no big positive news on the horizon," Auxilione said.

"The planned outages in a week's time have captured the attention of the market and are driving concerns further - as yesterday's market activity demonstrated."

Households will find out on Friday, August 26, exactly what the price cap will be set at in October.

This limits how much suppliers can charge customers for their energy bills - and is currently set at £1,971.

Ofgem recently announced it would be reviewed four times a year, instead of two.

Cornwall Insight has predicted it will be set at £3,579.75 in October.

While in in January it could hit £4,799, experts predict.

As costs spiral, energy bosses have called on the government to help struggling households.

So Energy co-founder Simon Oscroft called for the £400 energy bill discount to be doubled to £800, and for the £150 Warm Homes Discount to be quadrupled to £600.

He said: "The upcoming increase in energy bills this October, due to rises in global wholesale gas prices, is unprecedented and it is simply not feasible for households to bear the brunt of these costs."

While EDF's managing director Philippe Commaret warned households are in for a "dramatic and catastrophic winter".

He told BBC Radio 4's Today programme: “In fact, in January half of the UK households might be in fuel poverty."

He said EDF will be launching a campaign to provide further help to customers struggling to pay their bills who have existing energy bill debts.

Other energy bosses are calling for a freeze on energy bills.

Chief executives from Octopus EnergyEcotricity and Utilita have showed their support for a scheme called the tariff deficit fund.

It could see the price cap frozen at roughly its current level - £1,971 - with firms calling on a state-backed fund to stop rising costs being passed on to customers.

Today, Scottish Power's chief executive Keith Anderson backed these calls and told that the cost of energy must be frozen “now”.

How to get help with your bills

Unfortunately, there isn't an awful lot you can do to escape rising energy prices.

However, there are always schemes and funds available to hold your hand throughout the price hikes.

For example, there are plenty of energy grants and schemes open to help you out if you're struggling, like the British Gas hardship fund which can lend you up to £1,500 free cash towards bills.

There's also a one-off fuel voucher from your energy supplier if you're on a prepayment meter.

In terms of council funds, the Household Support Fund helps families with the rising cost of living, has been extended.

This help could include cash grants to pay bills or cover food costs - the help will depend on where you live.

For example, residents in Blackpool can get as much as £300, depending on their circumstances.

To find out what support is available in your area, contact your 

Make sure to check your bills if your energy supplier went bust and you've been switched over to a new one.

The Sun has previously reported customers have seen payments taken from both their old and new suppliers.

READ MORE SUN STORIES

Read More on The Sun

An energy bill expert has outlined six checks you need to do NOW ahead of bills rising.

We outline the full list of energy discounts you can apply for - you could save HUNDREDS.

Topics