Energy bills could increase this summer when the price cap changes, with the UK Government preparing targeted help rather than universal support.
Energy bills could rise for millions of households when the new price cap – starting on April 1 – ends in June, as the impact of the conflict in the Middle East continues to push up global oil and gas prices. Chancellor Rachel Reeves has confirmed contingency plans are under way to provide targeted help to those “who need it most” if costs increase later this year, raising concerns that not all households will qualify for support.
However, Citizens Advice Scotland (CAS) has warned many households are already at breaking point and says any help must go further than short-term fixes.
Evidence from across its network shows people were struggling to afford energy bills even before the latest surge in global prices, with rising costs now deepening financial pressure on households.
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CAS energy spokesperson Molly Shevlin said: “People coming to our CABs and our Extra Help Unit were already struggling to afford energy bills before this conflict started, and are now even more deeply concerned about how they will cope.”
She said while targeted support is welcome in principle, it must deliver “lasting impact, not just a one-time intervention in moments of crisis”.
CAS warned support must reach those most in need, including people on low incomes, households with high energy use due to disability, and those living in rural or island communities where costs can be higher.
For many of these households, energy bills are not easily reduced, leaving them exposed to price rises and at greater risk of falling into debt.
The charity said the current crisis is placing additional pressure on already stretched finances and highlighted the need for long-term solutions to make energy more affordable.
It is calling for the introduction of a social tariff to provide ongoing support for vulnerable households, alongside a scheme to write off energy debt built up during the cost of living crisis.
Meanwhile, the UK Government is preparing for possible bill increases later this year when Ofgem’s summer price cap starts on July 1. This will be in place until September 30.
Chancellor Rachel Reeves indicated on Tuesday that any support is likely to be targeted rather than the universal packages seen during previous energy crises, which provided help to all households regardless of income.
She said the UK Government would act in a “responsible” way to balance support for households with the need to control inflation and public spending.
Rising global prices have already pushed up costs elsewhere, with petrol and diesel prices increasing sharply in recent weeks, adding further strain to household budgets.
Industry figures show drivers have already paid hundreds of millions of pounds more for fuel since the conflict escalated, underlining the wider impact of global energy markets on everyday costs.
With another potential energy price rise looming this summer, campaigners say urgent and sustained action is needed to prevent more households falling into financial difficulty.
Evan John, Policy Advisor at Sense, said: “Disabled people must be front and centre of these plans. Many already face higher energy bills due to essential equipment and the need to keep homes at a safe temperature. With benefits barely covering the basics, further cost pressures are causing real anxiety – any support must reflect these extra costs.”
