Families braced for 50% rise in home energy bills
Ofgem will lift the limit on how much companies can charge for gas and electricity
Last updated 3rd Feb 2022
Scottish families are bracing themselves for the announcement of how much energy bills are going increase by this spring, with an expectation the
The energy regulator Ofgem is set to confirm a revised price cap for gas and electricity which could go up by as much as 50%, putting the average yearly household bill to almost £2000.
Energy firms will be allowed to increase their minimum tariffs because of the steep rise in wholesale costs on the global market.
At the same time as the Ofgem decision Chancellor Rishi Sunak will announce a support package.
Government discount scheme
According to the Times, Mr Sunak will commit to giving households in council tax bands A to C rebates funded by Government grants under targeted measures for poorer households.
The Treasury did not rule out the move nor did it deny that the Chancellor could announce state-backed loans to give all homes a discount on their energy bills of £200.
Holyrood debates cost of living 'crisis'
The Scottish Parliament will also hear calls for more targeted support to ease the cost of living crisis paid for by a windfall tax on gas and oil firms' profits.
Labour will lead a debate urging the Scottish and UK governments to support people affected by soaring living costs which the party says will "devastate family finances".
Among its demands, Scottish Labour wants a £400 payment targeted at households in financial difficulty that would be paid for by a "one-off windfall tax on increased oil and gas
Deputy leader Jackie Baillie said: "Thousands of Scottish households are looking down the tracks at a cost of living crisis which will devastate family finances.
"With energy and other household bills set to rise, food prices soaring, and the Tories set to raise national insurance payments, the time has come to act.
"Labour's proposals would deliver clear and concrete support for Scots in financial hardship and would ensure that those most in need are not made to pay the price of the cost of living crisis.”