Energy bills to jump by 9% from October

The average household energy bill in the UK is set to increase by 9% from October according to energy expert Cornwall Insights.

Typical household energy bills will rise to £1,714 a year, up 9.3% from £1,568 when the next change to the price cap takes effect.

This is less than its previous prediction in June when it was estimated that the cap would jump by 9.9% to £1,723.

Cornwall Insights believes there will be a further but ‘modest’ increase in January 2025, with more rises possible in the new year because of recent tensions in the Russian-Ukraine war.

Craig Lowrey, consultant at Cornwall Insights said: “This is not the news households want to hear when moving into the colder months.

“Following two consecutive falls in the cap, I’m sure many hoped we were on a steady path back to pre-crisis prices.

“However, the lingering impact of the energy crisis has left us with a market that’s still highly volatile and quick to react to any bad news on the supply front.

“Despite this, we don’t expect a return to the extreme prices of recent years, it’s unlikely that bills will return to what was once considered normal.

“Without significant intervention, this may well be the new normal.”

According to figures from Ofgem, total energy debt (classed as 91 days or more overdue) rose to £3.3bn at the start of the year. This is up 57% from £2.2bn at the same point in 2023.

Read our guide on what to do if you’re in energy debt, behind on bills, or worried about how you’ll afford to heat your home this winter.