MILLIONS of households will find out tomorrow how much their energy bills are set to rise this year.
The energy price cap announcement was expected next week but it has been brought forward to tomorrow (February 3) at 11am.
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Experts have predicted that bills could rise by as much as £600 a year for millions of families.
The new price cap will be announced tomorrow to give customers as much time as possible to prepare before it comes into force from April.
It is set to rocket from £1,277 to £1,900 for an average household.
The energy price cap limits how much suppliers can charge for default tariffs to protect customers from sky-high bills.
But it’s based on the price of wholesale energy and supplier costs which have soared in recent months, meaning consumers are facing huge gas and electricity bills.
When the price cap was last reviewed in October 2021 it protected 11million households — but that number has now doubled to 22million.
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That’s because millions of consumers have been moved onto default tariffs when suppliers have gone bust, and there are no cheap fixed deals on the market.
More than 25 energy firms have collapsed since last summer.
Consumers will be hit with a double whammy of price rises tomorrow as interest rates are also set to be hiked.
The Bank of England is expected to announce a rate rise tomorrow, which would increase interest rates on mortgages for homeowners.
Both announcements will add to the mounting pressure on consumer finances, as the cost of living crisis accelerates.
The government is reportedly considering a rebate on energy bills for every British household to help with the spike in gas and electricity costs.
It could mean a £200 pay out to help deal with the huge price rises when the energy price cap soars by 50 per cent this spring.
An increase in national insurance rates and higher council tax bills are also planned for 2022, costing Brits hundreds of pounds extra a year.
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