Analysts at consultancy Cornwall Insight, widely regarded for accurate predictions, have forecast that a household using a typical amount of gas and electricity will have £85 a year added to its bill from April, taking the annual cost to £1,823 a year.
They said the predicted rise was the result of a combination of colder weather and a fall in gas storage levels across Europe, which has led to a sharp increase in wholesale prices.
If a rise in the cap is confirmed, it would mean a third successive increase in energy bills, prompting further calls for consumers to shop around for a better deal, and for the government to step in to assist struggling billpayers.
“The burden of high energy bills has gone on long enough and as long as our energy bills remain tied to the cost of gas, households continue to be at the mercy of global markets and the fossil fuel industry,” said Simon Francis, co-ordinator of the End Fuel Poverty Coalition.
“But alongside the transition away from reliance on gas, it’s crucial to provide support for vulnerable households struggling with energy costs now and to invest in improving energy efficiency of homes.”
