The facts of the energy crisis are that the average dual fuel bill for gas and electricity will, in October 2022, be double that paid by folk before April 2022. The energy price cap was set at £1,235 before April. The energy price cap is based on an AVERAGE household paying by direct debit. Before April 2022, that worked out at 21p per KWh (electric – daily standing charge: 25p) and 4p per KWh (gas – daily standing charge 26p), in April, the energy price cap was increased to 28p per KWh (electric – daily standing charge 45p) and 7p per KWh (gas – daily standing charge 27p). The estimate of yearly energy usage for an average household is now set at £1,971, a rise of 54% since April 2022.
Considering very little gas is used during the Spring and Summer months in UK, no one has really felt the full effects of the rise in April, but, the energy price cap is estimated to rise AGAIN by a further 80% in October to £3,582, which works out at around 50p per KWh for electric and around 12p per KWh for gas. This will be a shock to many, many people, and millions will not be able to afford to pay, but, the Government will be paying the energy companies £66 per household to discount energy bills, so this will help. Now, the plight of pensioners and old folk, to my mind, is being grossly misrepresented in the media. The old, poor and vulnerable will not be using the same amounts of energy as average households. Many of the oldest in our society live in care homes, so, for them it won’t be an issue, unless, of course, the care home closes due to not being able to afford energy price increases. Businesses are not price capped and the rises in the small business sector will mean many going bust.
An average household, using the average amount of energy used by Ofgem to calculate the energy price cap will be paying £298 per month and will receive a discount of £66 a month from November, so that’s £236 per month or, double the amount paid before April 2022. The media likes to portray rises of 200% and even 400%, but there is no evidence for this in the domestic sector. Lots of businesses will be asked to pay 400% more, but not households. Of course these rises are bad, and they are not a “blip” as some are making out. Energy prices will not be falling back to pre April 2022 levels. There is no doubt that the era of cheap energy is now long gone. But, I fear the hysteria in the media will frighten older, poor and vulnerable people to such an extent, that they will be petrified to turn on their heating and that’s what will kill thousands this Winter. If the press and media focused upon the help available to the poor and vulnerable, I would applaud their efforts, but I cannot support this “click bait” hysterical garbage that they are pumping out daily. It is dangerous and should be stopped.