October energy price cap increase estimated at 64%

[Hugasauras]

From Martin Lewis:

'NEWS:
I feel sick writing this!
I've just got the latest price cap predictions from
@CornwallInsight
. A huge spike in the key year-ahead wholesale price means

OCT cap prediction UP 64% (so £3,244/yr on typical bills)
JAN cap prediction UP 4% (so £3,363/yr)

It's horrendous. Especially as we're now near the end of the assessment period that sets Oct's cap, so this is the right ball park.

The Oct prediction is now £450/yr HIGHER than Ofgem mooted in May & that was what Sunak based the £400-£1,200/yr help on.

More will be needed!

Please share. People need to know what's coming to see if they can prepare for it.'

Terrible Just checked our Octopus account and their fixed tariff offering is £500 a month for us.

This is the fixed rate Octopus are offering me 😱

Found it, it's 3500 a year for electric and 22000 a year for gas yes that's 22 thousand. Eep! We have the kind of system where you have to put the heating and hot water on before you use it.

Is that a fixed rate? Current variable is 7 something pence, so even a 64 per cent increase would not be that much. Still will be a huge increase though. We are all going to need more jumpers.

Crikey.

Yeah, that 17p figure is the current Octopus fixed rate offer for gas.

This is mine. Currently on SVR, and I think we'll be staying that way

What do people expect the government to do? Start to subside all loss making companies, all energy firms are supplying at a loss, hence that’s why so many went bust, which we have to pay for with higher standing charges

What are other countries who aren't us doing? Is anyone else dealing with energy price rises like this?

EVERY country has rising prices due to the war. Supply and demand. Worldwide issue.

I'm terrified. I can't afford it. With a disabled dependent and caters allowance being my only income I just can't see what I can do. I ve already corndoned off rooms of the house so we only heat the one room and limit the lights etc.

It's small and not important but a good example of how my life has just gotten worse is Christmas. In 2020 we couldn't have turkey for Christmas as I couldn't afford one. Last year we had no turkey and no Christmas fairy lights on the tree, this year there'll be no turkey no lights and no presents beneath it. More and more depressing . Eventually I can see a point where we loose the house. And that point isn't far away really. What'll happen to us?

@Unphased but the energy companies are not making losses, they are making huge huge profits. Surely some of the profits could be used to absorb some of the cost instead of it being put on the people who can not afford it

Not the energy suppliers

@kittenkipping It's utterly shit, isn't it? And I've never known so many 'comfortable' friends starting to panic about paying bills. And these are people with decent jobs, both members of the couple working, pretty average lifestyles. So I've no idea how those on lower salaries, single earners, those on benefits, etc. are going to manage. It's a scandal.

I really hope things look up for you

Yawn

I think we need a better plan for protecting the vulnerable as the current set of interventions are built on old data. I'd like to see how they intend to protect the budgets of public buildings, like hospitals and schools as the energy prices continue to rise. I'd like a plan for what we'll do if Russia cuts the gas off to Germany and we see another jump, particularly in light of the fact that the Nord Stream pipe is being turned off for maintenance on Monday and there is some genuine anxiety it might not be turned back on again.

But we have a caretaker pm, brand new chancellor, a leadership contest and a recess on the horizon.

My current octopus flexible tariff v their fixed rate offer:

This is really very shocking. I hate to think of children and elderly people being cold in the winter. These huge price increases are simply unsustainable for the majority of people.

I'm on Octopus variable tariff.
If I switch to 12 months fixed this will more than double my bill.
Should I switch to the fixed or stick to variable?
Does variable mean they can just raise the price at any point?? And is that likely to happen in October?

The next big leap in the cap is in October, when it will rise significantly, less significantly again in January and then all bets are off for every three months after that.

Thank you for your valuable contribution to the thread there.

@kittenkipping if you are in Scotland or Wales there is a one off payment for people who get Carer's Allowance. It is £500 in Wales, not sure about Scotland.

I'm living off £520 ESA a month. If this is the case I'm seriously going to get a rope and be done with it all.

I just looked - we’re now being offered a 2yr fix of £345 when our current monthly D/D is £190. At the start of the year it was £120. We’re going to risk it and stay on the variable rate for now I think. How are we supposed to afford this and all the other things that will go up as a result?

@Changedmynamefor If I understand Martin Lewis' latest advice right, its probably worth fixing if you can get a fix at less than 155-160% your current payment. I can't, so I'm staying on variable.

I’m sorry @rwalker do you think the current picture is OK? People are going to be cold and hungry this winter. I’m sorry if me thinking that’s a political issue is boring you.