{"id":370899,"date":"2025-08-24T23:21:13","date_gmt":"2025-08-24T23:21:13","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/370899\/"},"modified":"2025-08-24T23:21:13","modified_gmt":"2025-08-24T23:21:13","slug":"serious-concern-ahead-of-energy-price-cap-increase","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/370899\/","title":{"rendered":"\u2018Serious concern\u2019 ahead of energy price cap increase"},"content":{"rendered":"

\n The result will be a fifth winter of the energy bills<\/a> crisis, according to the End Fuel Poverty Coalition.\n<\/p>\n

\n The news follows a 42% rise in energy bill arrears among people seeking debt help from a Scottish charity.\n<\/p>\n

\n READ MORE:<\/strong>\u00a0Labour inaction slammed as inflation drops in Europe but rises in UK<\/a>\n<\/p>\n

\n StepChange Scotland says the sharp increase raises \u201cserious concerns\u201d about the ability of households to heat their homes this winter while repaying debt.\n<\/p>\n

\n The charity is calling for action to help solve the crisis from both the Scottish and UK governments and also wants a more compassionate approach to Council Tax<\/a> debt collection.\n<\/p>\n

\n Council Tax arrears have also risen steeply across the same time period, now averaging \u00a32385, a 13% increase on the previous year.\n<\/p>\n

\n \u201cIt\u2019s alarming to see how much energy debt has built up among our clients in Scotland this year, alongside council tax arrears,\u201d said StepChange Scotland chief executive Vikki Brownridge.\n<\/p>\n

\n \u201cThese kinds of priority debts can put a severe financial strain on households, as they grapple with repaying debt while trying to keep up with essential expenses.\n<\/p>\n

\n \u201cAfter years of cost of living<\/a> pressures, easing the burden on struggling households requires intervention from governments. We\u2019d like to see urgent action to address historic energy debt, alongside a more compassionate approach to Council Tax debt collection. Too often local authorities quickly jump to heavy-handed enforcement action, including use of sheriff officers if people fall behind with bills.\n<\/p>\n

\n \u201cOur research shows it is often the most vulnerable households facing Council Tax arrears.\u201d\n<\/p>\n

\n Higher household arrears are coupled with a worrying trend of increased borrowing on consumer credit. The proportion of StepChange Scotland clients citing the need for credit to cover everyday living costs as their main driver of debt has risen from 5% to 7% in the past year.\n<\/p>\n

\n Meanwhile, credit card debt remains the most common debt type, with two-thirds (66%) of clients holding credit card debt, up from 61% in the first half of 2024.\n<\/p>\n

\n StepChange Scotland says the increasingly precarious financial position for many households should prompt more concrete action from the UK<\/a>\u00a0and Scottish governments<\/a>.\n<\/p>\n

\n The charity would like to see urgent steps taken to eliminate historic energy debt which has accumulated over the past few years and has welcomed Ofgem\u2019s plans for a debt relief scheme.\n<\/p>\n

\n StepChange Scotland has long raised concerns about the problematic nature of Council Tax debt collection, with reform in this area urgently needed.\n<\/p>\n

\n The 1% rise in energy costs is predicted by energy research group Cornwall Insight.\n<\/p>\n

\n \u201cNews of higher bills will not be welcomed by households, especially as winter approaches,\u201d said Dr Craig Lowrey, principal consultant at Cornwall Insight.\n<\/p>\n

\n \u201cThis immediate challenge underscores a broader uncertainty facing millions of households, with current forecasts suggesting a sharp drop in bills is unlikely in the near term.\n<\/p>\n

\n \u201cLonger term, Ofgem<\/a>\u2019s review of how Britain\u2019s energy system costs are distributed could reshape the financial burden on consumers, but while some may see savings, others could face higher charges.\n<\/p>\n

\n \u201cThe real hope for lasting relief lies in the longer-term transition towards clean power and energy independence, which offers the greatest prospect of both stability and lower costs. But there\u2019s no sugarcoating it, this transition won\u2019t be instant or effortless and will see costs incurred as a result.\n<\/p>\n

\n \u201cIt will require adaptation and significant upfront investment \u2013 every change in the energy landscape comes with trade-offs. Yet for all the challenges, the long-term reward could be a more sustainable and affordable energy system for generations to come.\u201d\n<\/p>\n

\n READ MORE:<\/strong>\u00a0\u2018Warning sign\u2019 as toxic tyres prove to be a threat to wildlife<\/a>\n<\/p>\n

\n Simon Francis, co-ordinator of the End Fuel Poverty Coalition, said: \u201cWe\u2019re about to face our fifth winter of the energy bills crisis, with the average family still paying hundreds of pounds more than they did just a few years ago.\n<\/p>\n

\n \u201cOne of the main culprits is the price of gas, which tripled at the height of the crisis and is still 81% higher than before.\n<\/p>\n

\n \u201cWhat\u2019s more, the North Sea<\/a>, once seen as the nation\u2019s source of gas, is in terminal decline and it simply cannot provide power for our heating systems for the long term.\n<\/p>\n

\n \u201cIf we want affordable, secure energy, we have to look beyond gas and slash the cost of clean electricity.\u201d\n<\/p>\n

\n Free, confidential debt advice is available 24\/7 using StepChange\u2019s online debt advice service<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"The result will be a fifth winter of the energy bills crisis, according to the End Fuel Poverty…\n","protected":false},"author":2,"featured_media":370900,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3090],"tags":[51,1700,16,15],"class_list":{"0":"post-370899","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-economy","10":"tag-uk","11":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115086313583804820","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/370899","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=370899"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/370899\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/370900"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=370899"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=370899"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=370899"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}