Energy bills: Fuel cost hike puts pressure on families amid unprecedented £700 rise
Householders say they sometimes don’t eat to save money as people face cost-of-living crisis
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Your support makes all the difference.Families have described how they are struggling to cover their food and energy costs as annual energy bills rise by around £700.
One site manager told The Independent how he couldn’t afford to socialise any more, and a hairdressing business owner said he could not always afford meals, saying: “Sometimes I eat, sometimes I don’t”.
The £693-a-year rise in a typical energy bill will affect 18 million households, and 4.5 million customers on prepaid meters will face an increase of £708 a year.
The rising prices will double the number of households in “fuel stress” – a term for those spending 10 per cent or more of their income after housing costs on energy bills – overnight from 2.5 to 5 million in England alone, according to the Resolution Foundation think tank.
Protesters from the climate group Just Stop Oil blocked “10 critical oil terminals” across the UK this morning, as the biggest rise in British energy bills takes effect.
See below for how our live coverage unfolded.
ExxonMobil UK suspends operations at three fuel terminals due to protests
The oil and gas company, ExxonMobil, has said that they are suspending operations at three fuel terminals this morning after protests from climate activists.
Writing on Twitter, the company said: “Small protests are currently underway outside our Hythe, Birmingham and West London fuel terminals. While we respect the right to peaceful protest, our priority is the safety of our people, our neighbours, the protestors and our operations.”
They continued: “We have temporarily suspended operations from these locations. Our other terminals at Purfleet and Avonmouth are not affected. We request that the protestors allow us to resume our lawful business.”
Five million households face energy budget crunch as bills soar overnight
Five million households will be forced to spend at least 10 per cent of their budget on energy bills after Friday’s price cap hike, according to the latest analysis.
The prediction comes as the limit on bills leaps by 54 per cent, adding an average of £693 a year to the cost for those on default tariffs, write Anna Isaac and Simon Murphy.
The price rises will double the number of households in “fuel stress” – a term for those spending 10 per cent or more of their income after housing costs on energy bills – overnight from 2.5 to 5 million in England alone, according to the Resolution Foundation think tank. The figures account for chancellor Rishi Sunak’s recent intervention to ease the impact.
Read the full story here:
Five million households face energy budget crunch as bills soar overnight
Boris Johnson and Rishi Sunak condemned by Labour’s Ed Miliband for ‘refusing to go further to support the British people facing a cost of living crisis’
Just Stop Oil: Protesters block seven oil terminals and force Exxon Mobil UK to suspend operations
Protesters from climate group Just Stop Oil have blocked several “key oil” terminals across the UK forcing Exxon Mobil, one of the country’s largest privately owned underground oil pipeline distribution networks, to temporarily suspend operations at some of its sites.
The oil giant confirmed that “small protests” were underway at their Hythe, Birmingham and West London fuel terminals.
Sites in Essex and Hertfordshire are also affected and Essex Police said six people had been arrested.
Read the breaking news story here:
Protesters block oil terminals forcing Exxon Mobil to stop operations
Protesters from climate group Just Stop Oil have blocked several “key oil” terminals across the UK forcing Exxon Mobil, one of the country’s largest privately owned underground oil pipeline distribution networks, to temporarily suspend operations at some of its sites.
Minister acknowledges cost of living pressures are ‘very tough at the moment’
Kit Malthouse, a minister in the Home Office, has said that he recognised the situation around soaring energy prices and other cost of living pressures was “very tough”.
Speaking to Sky News, he said: “It is very tough at the moment.
“We completely acknowledge that a combination of factors has meant that prices are rising significantly, energy prices in particular, driven by a variety of factors - post-pandemic, the war in Ukraine, other kinds of global factors outside of our immediate control - and it is tough.
“For those of us who have a smart meter, as we do here in my house, we can see how much it is costing us on an hourly basis, and it is not happy reading.”
Catch up: E.ON blamed Martin Lewis for ‘bringing down Britain’ as energy sites crash
Energy firm E.ON appeared to blame money saving expert Martin Lewis yesterday after suppliers’ websites crashed ahead of Friday’s price hikes.
E.ON, British Gas and EF were among the sites struggling to deal with demand yesterday morning.
E.ON posted a tweet, responding to questions customers had raised about meter readings. It said: “Unfortunately the website and phone lines of every supplier are being hammered today.
“Martin has once again created unprecedented demand bringing down Britain. If you respond to our private message providing the details requested then we can assist you.”
Read the full story here:
E.ON blames Martin Lewis for ‘bringing down Britain’ as energy sites crash
Gas and electric firms faced huge demand on Thursday, before energy prices went up on Friday
Explainer: What is the energy price cap and what does it mean for you?
The energy price cap is the maximum amount a utility company can charge an average customer in the UK per year for the amount of electricity and gas they use, preventing businesses from simply passing on cost increases to the consumer, writes Joe Sommerlad.
But the cap, set by the regulator Ofgem and first introduced in January 2019, only applies to customers who are on a standard variable tariff, typically a provider’s default and most expensive option.
From 1 April, the cap will rise from £1,277 to £1,971 for a household on average usage. That means a £693 per year increase for the average customer.
Read more here:
What is the energy price cap and what does it mean for you?
Rising global gas prices causing dramatic increase to household bills in 2022
‘This is a significant and worrying day for millions of people’: Keir Starmer
Labour leader Keir Starmer has said that today is a “significant and worrying say for millions of people”, telling Sky news that people were “tossing and turning in their beds” over how they would pay for energy price hikes.
He added: “I’ve spoken to people tossing and turning in their beds about how they’re going to pay for this.
“What we say as the Labour Party is, look, oil and gas companies in the North Sea have made more profit than they have expected because global prices have been high.
“Therefore, we should have a windfall tax on that and use it to reduce those bills by up to £600 for those that need it most.
“So, there’s a very practical plan on the table - the only plan on the table, quite frankly.”
Government response to cost of living crisis ‘pathetic’: Keir Starmer
Labour leader Keir Starmer has criticised the government’s help with the cost of living crisis as “pathetic”. He hit out at the decision to hike national insurance rates, saying it is “the wrong tax at the wrong time”.
He added: “For the Government to decide to impose more tax in national insurance, now is the wrong time. It’s the wrong tax at the wrong time.
“I think most people are clear that ... the Government really needed to step up in its spring statement last week. They failed to do so and their response is frankly pathetic on a very, very difficult day for millions of people.
“Energy bills are going up far more than we’ve ever seen on record. People are really struggling and I just don’t think the Government gets it.”
Explainer: Who is eligible for help with energy bills and council tax?
Chancellor Rishi Sunak announced an aid package for British households worth a combined £350 in an attempt to ease the pain of rocketing energy bills, writes Joe Sommerlad.
He announced that all domestic energy customers would be entitled to a one-off £200 discount on their power bills that will be applied automatically from October and paid back in £40 instalments over five years.
He also said that every homeowner with a property graded in bands A to D would be entitled to a £150 council tax rebate, a measure intended to help out 80 per cent of homes in England and for which homeowners do not need to apply.
Read more about the measures here:
Why are green energy tariffs soaring alongside electricity and gas prices?
The UK currently has an estimated nine million households on green energy tariffs, who might expect to be shielded from spiraling wholesale gas prices. So why are they still being affected by rising costs? Joe Sommerlad explains.
The fact is that opting for a green tariff does not mean that the electricity you receive comes exclusively from renewable projects like solar plants and offshore turbines.
Instead, the electricity you are supplied with is precisely the same as that of your neighbour on a standard tariff because all providers rely on the National Grid.
Read more here:
Why are green energy tariffs soaring alongside electricity and gas prices?
Households that made ethical choice to support renewable power production not necessarily shielded from rising costs this spring
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