Majority of over-65s are worried about paying heating bills, charity says

Millions of households face massive rises in energy bills in April — and again in October

More people over 65 are said to be worried about paying their energy bills compared to last month (PA Archive)

Almost two thirds of those aged over 65 are worried about the cost of heating their homes during the colder months, according to a charity.

Next month, energy sector regulator Ofgem will reveal how much households’ gas and electricity bills are expected to increase from April.

Predictions from the energy sector suggest that bills could go up by as much as 50 per cent to £2,000 a year, and increase again in October 2022 to up to £2,400.

Age UK, which commissioned surveys of thousands of people, is calling for the 5 per cent VAT rate on energy bills to be scrapped in the 2022/23 financial year.

The proportion of over 65s who are concerned about their energy bills rose to 62 per cent this month from 43 per cent just a month ago in December 2021 – according to the charity’s survey.

Nearly half (45 per cent) of 1,200 people surveyed this month have been concerned about having to turn down the heating because of the cost of gas and electricity.

This figure represents a 50 per cent jump since 30 per cent of 2,000 survey respondents expressed the same worry in December.

The price cap – set biannually – had already risen by 12 per cent for around 15 million households to their highest-ever levels in October 2021.

The cap on standard variable and default tariffs is currently priced at £1,277 per year on average for a typical household paying by direct debit.

Age UK says that VAT should be axed until at least the end of the year, and additional financial support should be offered to older people on the lowest incomes.

This would help ease the pressure on households amid an accelerated rise in the general cost of living – due to inflation at a record 5.4 per cent – the charity also argued.

Charities, campaigners, and opposition parties have warned the government to step in to reduce the impact of rising energy bills in April, when other bills and taxes are also expected to increase.

A 78-year-old woman said, according to the charity: “I simply cannot cope with even higher bills.”

A woman aged 74 said: “If my energy bills increase as much as predicted, despite the help already given, I will not be able to heat my house, eat, feed my little dog, my only companion, and pay my bills without going into further debt as my savings have already been eaten away.”

Caroline Abrahams, charity director at Age UK, said: “Millions of older people across the UK are absolutely dreading the imminent price cap announcement and urgently need reassurance that help is on its way so they can keep their heating on.”

Prem Sikka, a Labour peer and accounting professor, has said that pensioners’ winter fuel allowance needs to rise to reflect current fuel prices – as the rate paid has not increased since 2011.

Last year, a squeeze on energy supplies saw the wholesale price of gas soar in December to an unprecedented 450p per therm.

Since September 2021, about 23 small energy providers went bust in the UK due to the record prices.

The price hike in April would take this shortage-driven cost increase into account as bills are charged and paid retrospectively.

A government spokesperson said: “We recognise the current cost-of-living pressures, which is why we are taking action to help. This includes providing support schemes worth more than £4.2 billion and extending the Warm Home Discount.

“In addition, our energy price cap remains in place and we’re helping the most vulnerable and low-income households through targeted support over the winter months, including winter fuel payments, cold weather payments, and the Household Support Fund.”