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Household energy bills forecast to see biggest rise in four years

A typical household faces an annual gas and electricity bill of £1,999 from January, based on a key forecast.

BBC Business•

Household energy prices are set to soar in January, with a typical annual bill forecast to jump by £276, figures shared with the BBC reveal.

The 16% predicted increase would hit millions of households at the coldest time of year, and would mark the biggest rise in bills for four years.

The forecast from consultancy Cornwall Insight comes a day before prices go up under regulator Ofgem's October price cap and puts increased pressure on the government to support those who will struggle to pay.

With little sign of a truce or lower international energy costs, a big increase in prices for those not on a fixed tariff looks highly likely. Lowrey said a January rise was "all but certain".