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‘Yet another kick in the teeth to ordinary people’ | Morning Star Skip to main content

‘Yet another kick in the teeth to ordinary people’

The upcoming winter energy bill rise comes at the ‘worst possible time’ and wipes out any gains from the government's Autumn Statement, campaigners warn

CAMPAIGNERS and trade unions have blasted the forthcoming winter rise in energy bills, saying today that it would come at the “worst possible time” and effectively wipe out any gains from this week’s Autumn Statement by Chancellor Jeremy Hunt.

The average household energy bill is set to increase by 5 per cent a year — or £94 —  from January after Ofgem announced that it would raise its price cap in response to higher wholesale prices.

An average household will spend up to £1,928 on fuel in the new year, although some will pay much more.

The energy price cap sets a limit on the maximum amount that suppliers can charge households in England, Wales and Scotland for each unit of gas and electricity.

Mr Hunt failed to announce any further government help with energy bills in Wednesday’s Autumn Statement.

He did say that the main rate of National Insurance contributions would fall by 2 per cent from January 6, but the freeze on personal tax thresholds remains in place until 2028.

Green MP Caroline Lucas said today that the Autumn Statement had “unravelled within 24 hours,” calling the absence of energy support “unforgivable.”

Scottish Pensioners Forum chairwoman Rose Jackson said: “During his address, the Chancellor would have been fully aware of what [today’s] announcement would bring and yet chose to do nothing on energy. It’s nothing short of shameful.

“This sleight-of-hand tactic and continued ‘giving with one hand and taking away with the other’ has become all too commonplace from Westminster.”

Campaign group Warm This Winter also hit out at Mr Hunt for refusing to accept an emergency energy tariff during his statement to the Commons, highlighting that households will pay 79 per cent more next year than before the energy crisis.

Spokeswoman Fi Waters branded the cap rise “yet another kick in the teeth to ordinary people,” especially following recent announcements by energy companies of hundreds of millions of pounds in profits.

She said: “They are raking it in and laughing all the way to the bank, while ordinary people can’t afford to turn their heating on.

“The relentless roll call of obscene profits, and now a hike in energy bills in the new year, is not only hugely unfair, it’s costing lives, damaging health and wasting money as our reliance on fossil fuels is keeping bills sky-high.”

End Fuel Poverty Coalition co-ordinator Simon Francis said that the “inhumanity” of the rise was “clear to see.”

He added: “These price hikes come at the worst possible time for households.

“Bills will go up just as winter bites hard and household finances are hit further by Christmas credit cards, the long January pay period and the ongoing wider cost-of-living crisis.”

Citizens Advice director of energy Gillian Cooper said the higher cap would make life harder for millions already struggling to pay their bills. She called the government to honour its commitment to provide support from next April.

TUC general secretary Paul Nowak said the rise would “just hammer households even harder,” adding: “It didn’t have to be this way.

“The Conservatives could have helped bring down bills by imposing a proper windfall tax on the likes of Shell and BP. But they left billions on the table.

“And instead of investing in improvements for draughty homes, they have left people out in the cold.”

Unite general secretary Sharon Graham called for energy to be brought into public ownership, arguing that Ofgem “protects the interests of big business” over the public.

Campaign group We Own It added that public ownership has “never been more vital.”

GMB national secretary Andy Prendergast hit out at ministers for “celebrating the fact inflation is falling, yet spiralling energy and gas bills are crippling households across the country.”

Shadow energy and net zero secretary Ed Miliband said Mr Hunt had “tried to pretend” in his statement that the cost-of-living crisis was over, but the figures on the energy cap rise “show the truth.”

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