On Saturday 1st April, Britain’s energy regulator Ofgem’s price cap figure (£3,280) announced on 27th February came into effect – however, its impact on energy bills is predicted to be minimal, as the government’s Energy Price Guarantee, which caps the unit cost of gas and electricity, remains at £2,500 until June.
The Trades Union Congress (TUC) has warned that the government is withdrawing energy cost support too rapidly, putting families and businesses at risk.
This comes as the Energy Bills Relief Scheme has been replaced by the Energy Bills Discount Scheme – the TUC cautions that the new scheme offers lower rates of support and some businesses will receive no support at all.
Unions also say that households face significant increases in monthly bills as a scheme which provided £400 off domestic energy bills spread over six months has also expired.
According to TUC General Secretary Paul Nowak, the withdrawal of energy cost support has come too quickly, and as a result, monthly energy bills are set to rise for many people.
With inflation still above 10% and wage growth lagging, the government should have extended the support for a longer period, Nowak said.