OFGEM Price Cap Rise
The current predictions for October and January 2022Read More
Updated 30 November 2022
The price cap was due to rise by 80% on October 1st but due to the Governments price guarantee on energy bills announcement it rose by 27% to £2500. This means that bills will be significantly higher than last winter, but not as high as they could have been if the price guarantee cap was not in place.
The price cap is a maximum amount that can be charged for electricity and gas standing charges and unit (kWh) rates. Remember: if you use more, then you will pay more.
On August 4th, it was confirmed by the energy regulator Ofgem that the price cap will now be updated every 3 months. In previous years, the price cap was updated every 6 months, on April 1st and October 1st. The price cap will now be updated every quarter.
Household Support Fund
Household Support Fund round 3 is now open.
The Department for Work and Pensions’ Household Support Fund (3) is now open. It aims to support those struggling to meet essential costs due to the Cost of Living crisis.
You can make a self-referral for the grant, to Citizens Advice Plymouth: https://citizensadviceplymouth.org.uk/home/household-support-fund . They may be able to support you with food costs, fuel costs or white goods (subject to eligibility).
PEC is also accepting frontline worker referrals from partners across the city (Livewell Southwest, Wolseley Trust, University Hospitals Plymouth, Food Plymouth Partners, Stroke Association, Age UK Plymouth).
For more local information on support for you or your family, please visit: https://www.plymouth.gov.uk/cost-living
If you are a frontline worker, please see our frontline worker page under residents.
For detailed information on what this might mean for you, Martin Lewis has done some wonderful work around the issue, visit his website here.
If you are going to struggle to pay your ongoing energy bills, alert your supplier as early as possible.
The Government has announced some measures to support people with price rises:
Cost of Living Payments
You could be entitled to both the Disability benefits AND the Low income benefits Cost of Living Payments, in which case you will receive a total of £800 spread over a period of time.
There is no short answer; it’s a complex issue. There seems to be four main factors; limits to gas supplies from Russia as well as the conflict in Ukraine; an upturn in global gas demand as economies reopen after Covid-19 lockdowns; a cold winter last year which prompted higher gas demand and reduced the amount we have in storage; and lower wind speeds last autumn which mean more energy has been generated with gas rather than wind.
Everything that we do, from upgrading existing and new-build homes to be less reliant on imported gas and more affordable to live in, to generating more local renewable energy, to supporting households to understand how to manage energy use and access available financial help, all contributes to making our community more resilient to crisis situations like this.
Looking more broadly, the way we produce and use energy is unsustainable. Moving away from fossil fuels, like gas, is one of the biggest challenges facing the UK but by no means impossible. Saving energy at home is an important step people can make across the country, but we also need urgent support from government to help everyone move to zero-carbon energy in a fair and supported way.