Posted: Sat 24th Aug 2024

Millions face heating shutdown as energy bills set to soar

News and Info from Deeside, Flintshire, North Wales
This article is old - Published: Saturday, Aug 24th, 2024

Millions of UK households could be forced to turn off their heating and hot water this winter as energy bills are expected to rise sharply.

According to new research from Citizens Advice, one in four people – 25%, or approximately 16.5 million people – are worried they will need to take these drastic steps due to the predicted increase in the energy price cap by £170, a 10% rise.

The situation is even more serious for vulnerable groups. The report highlights that 31% of households with children and 39% of low-income bill payers expect to have to turn off their heating.

This comes amid a wave of financial hardship, with Citizens Advice already helping record numbers of people struggling with energy debt, even during the summer months.

Widespread Impact on Households

The potential energy price hike could result in nearly half of all households (48%, or 35.1 million people) having to reduce or completely turn off their heating or hot water to cope with rising costs.

Additionally, 34% of respondents (22.8 million people) fear they will struggle to afford basic necessities such as food, mortgage payments, rent, or childcare.

A concerning 7% (4.5 million people) said they might have to skip meals to manage their budgets.

Despite a slight decrease in energy bills compared to last year, the economic strain remains severe.

Nearly 5 million people, or 7% of households across Great Britain, are already in debt to their energy suppliers, with this figure rising to over 14% among households with children under 18.

Furthermore, around 5 million people currently find themselves in a negative budget situation, where their essential monthly expenses exceed their income.

The forecasted price cap increase could push another 187,000 people into this precarious financial state—equivalent to the population of Bournemouth.

Call for Urgent Government Action

Citizens Advice is urging the government to take swift action to prevent a further worsening of the crisis.

Dame Clare Moriarty, Chief Executive of Citizens Advice, stressed the need for immediate reforms to support struggling households.

“We’re already helping record numbers of people with energy debt, but we’re now bracing ourselves for an even more challenging winter,” she said.

“The price cap increase will cause a wave of households to be tipped into debt, with bill payers forced to make impossible decisions to make ends meet, and families worried about the impact the cold will have on their loved ones.”

While longer-term plans to shift the energy market towards renewables may reduce costs eventually, Citizens Advice insists that households in desperate need cannot afford to wait.

The charity suggests that one immediate step could be reforming the Warm Home Discount to better target low-income families and those with higher energy needs, such as households with children or disabled individuals.

A Crucial Winter Ahead

With millions already facing financial hardship and previous support packages being phased out, the charity argues that the government must prioritise targeted bill support that reflects the real-life energy needs of households.

“Energy prices might be down from the peak of the crisis, but with many already in the red and the removal of previous support packages, there’s still no light at the end of the tunnel for those in desperate need,” Moriarty added.

“The government has inherited a huge challenge, so there must be no delay in their action.”

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