Average household energy bills will rise by £221 from 1st July, a 13.5% increase on the previous quarter and 79% higher than before the energy crisis began in winter 2020/21, according to figures confirmed by Ofgem.

The increase is driven primarily by the cost of gas, with unit rates up 28% on the last quarter and 16% higher than a year ago, a direct consequence of the impact of the US-Israeli conflict with Iran.

The End Fuel Poverty Coalition has warned that households cannot afford a summer of suspense while Ministers finalise their plans for winter support.

Simon Francis, coordinator of the End Fuel Poverty Coalition said: “Behind every energy price rise are households whose direct debits are about to rise, families whose energy debt is harder to clear, and pensioners whose summer is already overshadowed by the winter ahead. Meanwhile, the energy industry has posted more than £3 billion in profits from its UK operations in the first three months of 2026.

“With energy costs rising over the summer, any chance households had to reduce energy debts or build up reserves before the winter heating season will be wiped out.

“We are also worried that energy firms will now factor higher costs into direct debit calculations, meaning many households will feel the financial impact of winter long before October.

“That concern is sharpened by forecasts suggesting the October cap could remain at a similar level, leaving millions of households facing an extremely difficult year ahead if nothing changes.

“This summer will also bring its own pressures. With the vast majority of existing homes at risk of overheating in extreme heat events, and the poorest neighbourhoods seven times more likely to be vulnerable, households will need to run fans and cooling equipment exactly when their bills are rising.

“The Government cannot wait until September to act. It must confirm what support will be available, address the fact that relying on gas for heating is a dead end as the North Sea runs dry and chart a path for households to find a permanent way off the gas price rollercoaster.”

Joanna Elson, CBE, Independent Age chief executive, commented: “Today’s energy price cap announcement will be devastating for the older people in financial hardship we support.

“In an increasingly volatile world and with prices rising across many everyday essentials, people on low incomes need long-term protection from future spikes in energy costs. The recent extension of the Warm Home Discount is welcome, but as soaring bills continue to stretch budgets, the support should be increased from £150 to £400 to match the high cost of energy and lift people out of fuel poverty.

“Introducing a more comprehensive energy social tariff would lower bills further for customers in financial hardship, helping them keep their homes warm during the coldest months. If the UK Government is serious about tackling the high cost of living it must take quick and meaningful action so no older person is left in the cold this winter.”

Elsa Person, Head of Public Affairs England at Marie Curie, said: “A terminal diagnosis often brings with it increased costs towards the end of life, as bills go up to pay to keep essential medical equipment running. As a result, over 120,000 people die in fuel poverty every year in the UK. As energy bills rise, we fear this number will only increase.

“No one should spend their final months worrying about whether they can afford to run vital equipment. As costs continue to increase, Marie Curie is calling on the UK government to provide the necessary financial support terminally ill people need to manage their bills by introducing a social tariff for energy that this group can access.”

Uplift Deputy Director Robert Palmer added: “People are fed up with an energy system that sees oil and gas companies rake in billions in profits, while the rest of us a saddled with higher bills.

“This is not the first time we have seen the gas price soar off the back of conflict and it won’t be the last. While we remain dependent on gas, a handful of oil giants will continue to get rich at our expense.

“More North Sea drilling will do absolutely nothing to lower energy bills and only make a minimal difference to energy security. After 50 years of drilling, we have burnt most of the UK’s gas reserves.

“Politicians need to learn the lesson of the last five years – that the only way to insulate ourselves from these risks is by doubling down on renewables and helping more households and businesses make the switch to clean electricity. This is just common sense in today’s world.”

Image: https://pix4free.org/photo/36555/cost-of-living-crisis.html. Cost of living crisis by Nick Youngson CC BY-SA 3.0 Pix4free