Citizens Advice has sounded an alert regarding the anticipated increase in the number of individuals commencing the winter season with unsettled energy bills, resulting in some resorting to borrowing to meet these expenses.
In the initial half of 2023, a notable surge in the count of individuals grappling with energy-related debts has led 46,431 people to seek advice from the charity. This statistic marks a 17% escalation compared to the corresponding timeframe in the preceding year.
As the energy price cap announcement looms for Friday, the forecast indicates that a standard annual household energy bill could average around £1,926 starting from October. However, the individuals who reached out to Citizens Advice for assistance were burdened with average debts amounting to £1,711, signifying an increase of one-third since 2019.
The steady ascent in the extent of arrears on energy bills within certain households has been an ongoing trend since the spring of the previous year, owing to elevated gas and electricity prices.
The price limits for approximately 29 million households across England, Wales, and Scotland are governed by regulations imposed by the energy regulator Ofgem. In the imminent announcement set for Friday, a reduction in the price cap is expected, leading to a decrease in the cost per unit of energy for the subsequent three-month period commencing October.
