Soaring energy prices could plunge millions into fuel poverty this summer unless Sir Keir Starmer acts now, campaigners have warned.
Most households are protected from rising wholesale prices by the Ofgem cap, which has already been set between April and July.
However, prices are expected to rise in the summer because of the ongoing conflict in the Middle East.
The End Fuel Poverty Coalition has called for the Government to establish an emergency support framework now rather than wait until costs soar
It predicts that 13 million households face paying more than 10 per cent of their income on energy if bills go up when the price cap changes.
Of these, five million face spending more than 20 per cent of their income.
Charities are already receiving reports of the elderly struggling with bills, with some washing up in cold water and others only switching on one light at a time.
However, the Coalition now fears things are set to get worse.
Keir Starmer and Rachel Reeves
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DOWNING STREET“Early projections suggest the average annual bill could increase and, as a result, the Coalition estimates that around 13 million households will be left spending more than 10 per cent of their income on energy,” the organisation said.
Five million of these will be spending 20 per cent of their income on energy.
The Coalition has written to the Government and asked it to prepare a targeted reduction in energy unit rates from July, pre-empting a significant rise in the price cap.
It is also calling for reforms to cold weather help ahead of winter, including further expansion of the Warm Home Discount and strengthening Cold Weather Payments so support reaches vulnerable households earlier.
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Ministers were urged to speed up reform to electricity pricing and to prepare a scalable universal support package that could be activated quickly if energy prices spike further.
Simon Francis, coordinator of the End Fuel Poverty Coalition, said: “Millions of households are still recovering from the last energy crisis, with record levels of energy debt and many already struggling to afford their bills.
“The risk is that we see another wave of fuel poverty driven by the oil and gas price crisis caused by Trump’s war in the Middle East.
“This is history repeating itself and rather than making snap decisions, the Government should establish an emergency support framework now, so households know what support can be expected.
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“Reducing energy price spikes benefits the whole country. It helps limit inflation, reduces pressure on household finances, prevents worsening fuel poverty and cuts the health impacts associated with cold homes.”
He said that windfall taxes on energy firms should be used to fund the measures.
Maria Booker, head of policy at advocacy group Fair By Design, said the government needed to tailor support to ensure that it went to the most vulnerable.
She said: “The Government must use the next two and a half months to design an emergency support package that is both effective and fair.
Global factors have led to the changing fuel prices | PA
“Support should be carefully targeted towards those who need it most and funded in an equitable way.
“This shock is yet another reminder of why the Government must accelerate progress on data‑matching capabilities so that support can be better targeted.
“Ultimately, reducing our reliance on fossil fuels and transitioning to clean power generated here in the UK, will mean we are not at the mercy of global energy shocks like this in future.”
Morgan Vine, director of policy and influencing at Independent Age, warned that the elderly were already worried about the effects of the war.
The Coalition has shared its proposals with ministers and offered to meet with the Government to discuss how the measures could be implemented
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He said: “It is clear that support is needed for older people in financial hardship who are understandably anxious about what the fuel crisis could mean for them.
“With over half of older people on a low income already finding it a struggle to keep up with their energy bills, many are already making tough choices, not turning the lights on at night, heating only one room even in the depths of winter, or washing in cold water.
“Older people on low incomes can’t afford to absorb any more costs; they’re already at breaking point. The UK Government must take comprehensive action now to protect everyone on a low income from sky-high energy prices.”
The Coalition has shared its proposals with ministers and offered to meet with the Government to discuss how the measures could be implemented.
A spokesman for the Department for Energy Security & Net Zero said: “Tackling the affordability crisis is the Government’s number one priority. That is why we are acting to bring bills down now and for the long term.
“Action we took at the Budget ensured the price cap will fall by £117 from April, which will remain in place until end of June. We have also announced £53m of funding to support heating oil customers.
“We have also expanded the £150 Warm Home Discount to around six million households.”