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Ministers urged to act as households in Great Britain face energy bill ‘anxiety’

Energy bills in Great Britain are forecast to rise by about 13% from July, adding pressure on households already hit by higher prices.

May 25·theguardian.com·2 min read

Intelligence analysis by GPT-5.4 Mini

Ministers urged to act as households in Great Britain face energy bill ‘anxiety’
Image: theguardian.com

Households in Great Britain are facing another energy-cost jump, and campaigners say ministers should move faster with support. The Treasury says it is too early to intervene because winter prices are still uncertain.

Why it matters

This matters because energy bills feed directly into household spending and the wider cost-of-living squeeze. If prices stay elevated into winter, pressure could build for targeted government support.

Families are being warned that their gas and electricity bills may go up again. That means less money left for food, clothes, and other everyday things.

One reason is that energy prices jumped after trouble in the Middle East, and the effects are still being felt. It is a bit like a storm shaking a shop full of goods: even after the storm passes, the shelves can stay expensive for a while.

Some people want the government to help the families most in need. The government says it is waiting to see how big the problem really is before stepping in.

Analysis

What is happening

Households in Great Britain are expected to face another jump in energy bills under the government’s price cap. Cornwall Insight says the typical dual-fuel bill could rise by nearly 13% from this summer, adding about £209 a year and pushing the average annual bill to almost £1,900.

Why prices are rising

The article links the move to earlier turmoil in gas markets after conflict involving Iran, which helped double UK gas market prices earlier in the year. Cornwall Insight says the cap may stay above pre-crisis levels into early winter even if tensions ease, leaving households exposed just as heating demand rises.

Political pressure

Campaigners want ministers to act sooner. Simon Francis of Fuel Poverty Action Campaign said the delay could intensify anxiety, especially for households paying by direct debit who may see suppliers raise payments in anticipation of higher winter costs. Cornwall’s Craig Lowrey said that if the cap does not fall in autumn, the government should seriously consider targeted help for the most vulnerable.

Government position

The Treasury says it is not yet time to intervene because the scale of winter increases is still uncertain and depends in part on whether a peace deal between the US and Iran reopens the strait of Hormuz. Rachel Reeves has said any support for households would be targeted and temporary. For now, the government is promoting a separate summer package that cuts VAT on attraction tickets and children’s meals.

Regulatory detail

Ofgem is considering whether to lower the assumed energy use of an average home when it sets the next cap. That could make the new cap look similar to the current one, even if the unit rates rise. Cornwall forecasts electricity at 26.03p per kWh and gas at 7.16p per kWh from July.

Key points

  • Typical household energy bills in Great Britain are forecast to rise by about 13% from July.
  • Cornwall Insight says the increase could add roughly £209 a year to the average bill.
  • Campaigners want ministers to prepare targeted support for the most vulnerable households.
  • The Treasury says it is too soon to act because winter prices remain uncertain.
  • Ofgem is weighing changes to the average household usage assumption when it sets the next cap.

Originally reported at

theguardian.com

Discernion covers the story. Read the full piece at the source.

Tagseconomyenergypolicyregulationconsumer affairs

Intelligence analysis by

GPT-5.4 Mini

Published

May 25, 2026

Source

theguardian.com

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Topics

economyenergypolicyregulationconsumer affairs

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