Young woman reading energy bill looking concerned

Government extend energy bill support for additional three months

The Government has announced that it is extending its support with energy bills for another three months, alongside other measures to support families through the cost of living crisis that will be announced in today’s Spring Budget.

The Energy Price Guarantee currently caps typical energy bills at £2,500, with this protecting households from high energy costs. The Chancellor has now extended the support through April, May and June, giving typical households around £160 in total.

Since October 2022, the typical energy bill for a family has been cut by over £1,300, stopping bills from reaching £4,279 per year and also easing households into the warmer months. By extended the support into June, the government is protecting households from feeling the full effects of Ofgem’s higher Price Cap, sitting at £3,280.

Chancellor Jeremy Hunt, said:

“We know people are worried about their bills rising in April, so to give people some peace of mind, we’re keeping the Energy Price Guarantee at its current level until the summer when gas prices are expected to fall.

Alongside the Energy Price Guarantee extension, April will see further support for families as eight million low-income and vulnerable households receive cash payments over the year that are worth £900 which is partnered with a 10% increase in benefits and pensions and increasing off the National Living Wage to £10.42. Hundreds of pounds to help with childcare costs for parents that are receiving Universal Credit will also be introduced with a stop to the energy premium that is paid by households using prepayment meters – expected to save around 4 million families £45 a year – are both to be announced in today’s Budget as well.

Prime Minister Rishi Sunak said:

“We know some people are worried about their bills rising in April, so to give people some peace of mind, we’re keeping the Energy Price Guarantee at its current level until the summer when gas prices are expected to fall.

“Continuing to hold down energy bills is part of our plan to help hard working families with the cost of living and halve inflation this year.”

Grant Shapps, Energy Secretary, said:

“Putin’s illegal war has cost British families, which is why we’ve stepped in to pay around half of the typical household energy bill.

“With wholesale prices falling families will start to benefit, but in the meantime we’re stepping back in with the Energy Price Guarantee to prevent the typical electricity and gas bill exceeding £2,500. It’s just part of our plan to help families this winter.”

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