Surge in standing charges and loss of government subsidies to leave families worse off
Ofgem has been accused of allowing energy companies to ramp up “unfair” charges after analysts warned that more than seven million households face higher heating bills this winter.
Increases in standing charges and the loss of government subsidies compared to last year mean that millions of households that use relatively little gas and electricity will be worse off this year than last, the Resolution Foundation said.
The think tank said 7.2 million households face higher bills, even as the price cap is expected to fall from £2,100 to around £1,925 this winter.
Part of the reason families will be worse off is because government subsidies worth £400 per household will not be repeated.