The body representing UK energy firms, Energy UK, has called on the government to provide more assistance for households facing higher energy bills this winter. It stated that current support for those most in need is insufficient.
Energy UK highlighted that persistently high prices have led to some individuals requiring "emergency support" beyond the existing £150 Warm Home Discount. The organisation believes bills are unaffordable for millions and a "better targeted and more agile" support scheme is necessary.
On Wednesday, regulator Ofgem is set to announce the energy price cap for October onwards, which is anticipated to reach a three-year high. Energy consultancy Cornwall Insight predicts a 4% increase in the cap, which will affect household bills during the first half of the coming winter.
Dhara Vyas, Energy UK chief executive, said that suppliers are doing what they can, but record debt levels demonstrate the current system's failure to provide adequate support. She proposed a new "social discount" scheme, costing an estimated £1.9bn, which could offer up to £450 in support to some households.
The proposed scheme could be part-funded through bills or entirely by taxpayers. Adam Scorer, chief executive of National Energy Action, supported the call for a new approach, noting the Warm Home Discount has only increased by £10 in the last decade.