Energy Bills capped at £2500 a year - for the average household (subject to usage)

[BecauseICan22]

Truss has just announced this.

Theresa May showing the world they were mad to get rid of her.

No. The standing charge increase arose primarily as a result of the failure of small suppliers. The standing charge can’t just be increased - that won’t happen.

They may fall slightly, I can’t remember if green levies are included in the standing charge but I think they are and the government has just announced that they will be removed.

Helpful but forgot to add one key piece of information.

The government = taxpayers. So essentially we're going to borrow billions of pounds to protect the interests of energy giants and then either pay increase taxesin future or cut services

That should say "increase taxes or cut services to pay for it in the future".

Hit post while editing by mistake.

I've just looked to see if it's worth swapping my fixed for the new variable and they're both almost identical for unit cost! If anyone knows what the standing charge will be fixed at in October, please tag me!

I've just switched off our fixed rate (now higher than proposed cap) back to the variable rate. Atleast no penalty fee!

So, broadly speaking, the households who were bothered about energy increases because they would have to cut back on non-essential spend/ not save as much as they normally do, are breathing a sigh of relief, whereas the truly struggling households who can’t afford any increase are still screwed?

So Middle England is saved and the poor are fucked. Is that it?

I read in The Telegraph ,Bills will be around 61% higher than last year.So a rough estimate.

That was my first thought.

We’re on LPG. Hope something is put in place regarding that. We are screwed over because LPG shouldn’t be affected by natural gas prices but they have used the current situation as an excuse to double the cost.

They still got the cash payment though?

Which is equal to the increase for the average use

Standard, just enough that those 2024 voters do their thing

Sorry, meant to quote @Flowership.

What would you propose then? This is an extraordinary intervention and businesses are getting an equivalent helping hand. This means that essentials like food etc are unlikely to rise as much in price which will help families as well as the cap.

People on low incomes/benefits are rightly still getting the other help that was previously announced, so whilst the cap benefits everyone rightly so they will get some additional support.

Nothing will be good enough for some people.

Agree with everything you have said.

I don't want future generations saddled with the truss tax

Some people just like to complain for the sake of it.
The annoying part about all this is, that people won't learn how to regulate their usage.

Great, but also don’t fall for the spin.

She’s not imposing anything on the actual energy companies themselves though is she. They can still charge however much they want and the government will absorb the cost, which in real terms means we will as tax payers. So really, she’s not done as much as she could be doing.

We’re on LPG. Hope something is put in place regarding that. We are screwed over because LPG shouldn’t be affected by natural gas prices but they have used the current situation as an excuse to double the cost.

Same here! It really is a scandal.

Also on LPG and it’s concerning isn’t it- no real way of knowing how much gas will go up by, and we only get billed quarterly so could be in for a hell of a shock. We’re also on a bulk metered supply for our whole estate, so can’t even shop around for a (marginally) better deal!

@LizzieSiddal it is scandalous.

@Aurora791 we have tried to shop round but we can’t get a better rate. It’s a bloody cartel.

It does feel endless as people will want more no matter what

Handing cash to people was a bad idea. People don’t remember it happened and it’s not at source like a bill freeze.

The government will sign an agreement with the energy companies that they will charge households up to a certain value and then the government will pay them the difference between that and the prices at the time. It will be funded by taxpayers yes.

@BunsyGirl Im with Flogas and they are pretty good. I’m paying 48p at the moment but have been told it will go up to 75p in Oct!