Arabic version: توقّعات بارتفاع حاد في فواتير الطاقة خلال يناير

According to BBC News, household energy prices are forecast to rise sharply in January, with a typical annual bill expected to increase by £276. Consultancy Cornwall Insight said the predicted 16% increase would take the annual bill for a typical household to £1,999, marking the biggest rise in four years if it occurs.

The forecast comes as about 20 million households in England, Scotland and Wales face a 4% increase under Ofgem’s October price cap on Thursday. For a typical household using gas and electricity and paying by direct debit, the change is equivalent to about £60 a year, or £5 a month, taking the annual bill to £1,723 if sustained for a year. A government VAT cut reduces a typical bill by the equivalent of about £45 a year.

Cornwall Insight said disruption to gas supplies linked to the conflict in the Middle East, alongside low gas storage levels in Europe, was behind the January forecast. Craig Lowrey, principal consultant at the firm, said the increase would come at a difficult time, when households face cold weather and financial pressure after Christmas. Ofgem is not due to announce the actual January cap change until late November, and the forecast remains a prediction.

Pressure is growing for further support for households struggling with bills. Ofgem data showed customers collectively owe more than £5bn in unpaid bills and charges to suppliers. Adam Scorer, chief executive of National Energy Action, called for targeted support, action on energy debt and improvements to the least energy-efficient homes. EDF Energy chief executive Simone Rossi said the UK was “walking into a second significant energy crisis” and urged the government to extend the electricity VAT cut beyond April, when it is due to expire.