Energy regulator Ofgem has announced that the annual energy bill will rise to £1,717 for a typical household from 1st October 2024 – an increase of almost £150 or 10%.
Commenting on the increase Chief Executive of Consumer Scotland Sam Ghibaldan said:
“The rise in the price cap will compound affordability challenges for those who are already struggling to pay their bills and comes as we approach the coldest months of the year.
“There is a need for governments to design better targeted energy affordability support for consumers, particularly given current levels of debt and ongoing pressure on household budgets.
“This should be led by a comprehensive review of current energy affordability schemes to ensure consumers who are struggling with bills get the support they need.
“This also highlights the urgent need for energy market reforms to enable all consumers to access affordable, clean energy in the future.
“In addition there needs to be a renewed impetus on a range of additional measures to lower bills and keep homes warmer, including improved insulation.”
Background
Ofgem figures show domestic energy debt and arrears in Great Britain now exceeds £3.3bn.
Findings from Consumer Scotland’s Energy Affordability Tracker showed 9% of consumers reported being in energy debt. Risk factors most associated with energy indebtedness are having a disability that limits a lot, having a health condition, and having a child under 5 in the household.
Consumers struggling with their energy bills should contact Advice Direct Scotland which provides free advice on the financial support available from Monday to Friday between 9am and 5pm. Their advice line is 0808 196 8660.
Consumer Scotland is the statutory body for consumers in Scotland which was established by the Consumer Scotland Act 2020.