London Daily

Focus on the big picture.
Wednesday, Nov 26, 2025

Energy price cap rises: Households will be in 'deep peril' and older people will be 'badly shaken' by increase in bills, charities warn

Energy price cap rises: Households will be in 'deep peril' and older people will be 'badly shaken' by increase in bills, charities warn

Chancellor Rishi Sunak has announced a £9bn package following word from Ofgem, the energy regulator, that prices are set to soar by 54% for 22 million households from the beginning of April, adding £693 to the annual costs of a typical household.

Households will be left in "deep peril" and older people will be "badly shaken" by the rise in energy bills, charities have warned.

On Thursday, energy regulator Ofgem announced prices are set to soar by 54% for 22 million households from the beginning of April, adding £693 to the annual costs of a typical household.

Later in the day, Chancellor Rishi Sunnak announced a £9bn package, including a one-off repayable £200 discount and a £150 rebate on council tax bills, and £144m to councils to support vulnerable households amid the surging energy prices.

However, the government's plan has been met with criticism with one fuel poverty charity describing it as "woefully inadequate".

'We need deep, targeted support"


National Energy Action (NEA) said the increases will mean the cost of heating an average home will have doubled in 18 months while numbers in fuel poverty will soar from four million to 6.5 million households across the UK in just six.

"These energy crisis measures are woefully inadequate and will leave those on the lowest incomes and in the least efficient homes in deep peril, NEA chief executive Adam Scorer said.

"We needed deep, targeted support for the most vulnerable. We have shallow, broad measures for all. That simply does not work."

"The rebates on bills and council tax are not sufficiently targeted, too small, and too complex," he added.

"We expect the government will have no choice but to return to the issue of spiralling fuel poverty and another price rise later this year. By then they'll be playing catch-up and great harm will already have been done."

According to an analysis by the Joseph Rowntree Foundation, even after the deferral scheme for energy bills and the council tax discount are taken into account, families on low incomes will spend on average 16% of their incomes after housing costs on energy bills.

This compares to 5% for middle-income families.

"Already people are not spending money because they do not have money to spend," Newham resident, Naveem Choudry told Sky News.

"It has already affected businesses and plus energy bills going up, which has very badly affected business. People are already scared because they don't have no money, they have no future.

Rise in energy prices caused by China and 'colder than usual winter' - Sunak


After announcing the government's £9bn support package, Chancellor Rishi Sunak attributed the record rise of energy prices to China pushing up global prices and the UK's "colder than usual winter".

Writing in The Sun, he said: "One (factor) is the steep rise in demand for gas in places such as China, which has pushed up global prices.

"Another is the fact that we have had a colder than usual winter so we have used up more of our own stores of gas here at home.

'Help is targeted at those who need it most," said the chancellor


"There are no two ways about it: (the £693 annual increase per household on average) ... is a big hit for people to take and I don't underestimate it one bit."

He continued: "We made a difficult decision last year that in order to tackle the unacceptable backlogs caused by the pandemic, as well as to pay for vaccines and integrate our health and social care system, we would have to raise the money to do so.

"We can't borrow for wholesale reform and we were upfront about that from the beginning."

Mr Sunak continued to say the "help is targeted at those who need it most, while also providing some support for those in the squeezed middle".

'We are gonna have to start considering using food banks'


For low-income families with children, the measures announced by the government will mitigate just 36% of the increase in their bills on average in comparison to 59% for low-income single-adult households, analysis by the Joseph Rowntree Foundation found.

A 47-year-old mother said the rise in fuel prices may mean she and her family have to start using food banks.

Melanie, who lives with her partner and six-year-old daughter in Flintshire, told the PA news agency she is "absolutely horrified" by the 54% increase in the price cap.

"If things keep rising the way they are, we're going to be in a terrible predicament where yeah, we are gonna have to start considering using food banks," she said.

"We pride ourselves on every time we do a food shop, we buy at least one thing for the food bank - the tables are going to turn where we're having to possibly ask them for help after April."

'It is disgusting' - Age UK calls for more help


Meanwhile, Age UK has urged the government to urgently rethink their plan, warning older people on low and modest incomes are "bitterly disappointed".

"With average energy bills now set to rise by a whopping £693 per year - and almost certain to increase further in a few months' time - the support the chancellor has announced simply does not go far enough," Caroline Abrahams, charity director at Age UK, said.

"It will still leave many of these pensioners facing energy costs surging by an extra several hundred pounds that they cannot afford to pay."

She added: "Tough and stoical though they typically are, many older people will be badly shaken by the news they are hearing today.

"There's no doubt it will lead to many more turning their heating down or off altogether because they will know these price surges and the chancellor's inadequate response signals a crisis in their personal finances, with no end apparently in sight."

One woman, 85-year-old Pauline Thorley, told Sky News: "I think it's disgusting... what can we do about it? Nothing."

Asked if the energy rise makes her worried about her own bills, she said: "It does, I'm on my own but I've still got the same heating as everybody else."

Newsletter

Related Articles

0:00
0:00
Close
UK Economy Stalls as Reeves Faces First Budget Test
UK Economy’s Weak Start Adds Pressure on Prime Minister Starmer
UK Government Acknowledges Billionaire Exodus Amid Tax Rise Concerns
UK Budget 2025: Markets Brace as Chancellor Faces Fiscal Tightrope
UK Unveils Strategic Plan to Secure Critical Mineral Supply Chains
UK Taskforce Calls for Radical Reset of Nuclear Regulation to Cut Costs and Accelerate Build
UK Government Launches Consultation on Major Overhaul of Settlement Rules
Google Struggles to Meet AI Demand as Infrastructure, Energy and Supply-Chain Gaps Deepen
Car Parts Leader Warns Europe Faces Heavy Job Losses in ‘Darwinian’ Auto Shake-Out
Arsenal Move Six Points Clear After Eze’s Historic Hat-Trick in Derby Rout
Wealthy New Yorkers Weigh Second Homes as the ‘Mamdani Effect’ Ripples Through Luxury Markets
Families Accuse OpenAI of Enabling ‘AI-Driven Delusions’ After Multiple Suicides
UK Unveils Critical-Minerals Strategy to Break China Supply-Chain Grip
Taylor Swift’s “The Fate of Ophelia” Extends U.K. No. 1 Run to Five Weeks
UK VPN Sign-Ups Surge by Over 1,400 % as Age-Verification Law Takes Effect
Former MEP Nathan Gill Jailed for Over Ten Years After Taking Pro-Russia Bribes
Majority of UK Entrepreneurs Regard Government as ‘Anti-Business’, Survey Shows
UK’s Starmer and US President Trump Align as Geneva Talks Probe Ukraine Peace Plan
UK Prime Minister Signals Former Prince Andrew Should Testify to US Epstein Inquiry
Royal Navy Deploys HMS Severn to Shadow Russian Corvette and Tanker Off UK Coast
China’s Wedding Boom: Nightclubs, Mountains and a Demographic Reset
Fugees Founding Member Pras Michel Sentenced to 14 Years in High-Profile US Foreign Influence Case
WhatsApp’s Unexpected Rise Reshapes American Messaging Habits
United States: Judge Dressed Up as Elvis During Hearings – and Was Forced to Resign
Johnson Blasts ‘Incoherent’ Covid Inquiry Findings Amid Report’s Harsh Critique of His Government
Lord Rothermere Secures £500 Million Deal to Acquire Telegraph Titles
Maduro Tightens Security Measures as U.S. Strike Threat Intensifies
U.S. Envoys Deliver Ultimatum to Ukraine: Sign Peace Deal by Thursday or Risk Losing American Support
Zelenskyy Signals Progress Toward Ending the War: ‘One of the Hardest Moments in History’ (end of his business model?)
U.S. Issues Alert Declaring Venezuelan Airspace a Hazard Due to Escalating Security Conditions
The U.S. State Department Announces That Mass Migration Constitutes an Existential Threat to Western Civilization and Undermines the Stability of Key American Allies
Students Challenge AI-Driven Teaching at University of Staffordshire
Pikeville Medical Center Partners with UK’s Golisano Children’s Network to Expand Pediatric Care
Germany, France and UK Confirm Full Support for Ukraine in US-Backed Security Plan
UK Low-Traffic Neighbourhoods Face Rising Backlash as Pandemic Schemes Unravel
UK Records Coldest Night of Autumn as Sub-Zero Conditions Sweep the Country
UK at Risk of Losing International Doctors as Workforce Exodus Grows, Regulator Warns
ASU Launches ASU London, Extending Its Innovation Brand to the UK Education Market
UK Prime Minister Keir Starmer to Visit China in January as Diplomatic Reset Accelerates
Google Launches Voluntary Buyouts for UK Staff Amid AI-Driven Company Realignment
UK braces for freezing snap as snow and ice warnings escalate
Majority of UK Novelists Fear AI Could Displace Their Work, Cambridge Study Finds
UK's Carrier Strike Group Achieves Full Operational Capability During NATO Drill in Mediterranean
Trump and Mamdani to Meet at the White House: “The Communist Asked”
Nvidia Again Beats Forecasts, Shares Jump in After-Hours Trading
Wintry Conditions Persist Along UK Coasts After Up to Seven Centimetres of Snow
UK Inflation Eases to 3.6 % in October, Opening Door for Rate Cut
UK Accelerates Munitions Factory Build-Out to Reinforce Warfighting Readiness
UK Consumer Optimism Plunges Ahead of November Budget
A Decade of Innovation Stagnation at Apple: The Cook Era Critique
×