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Glasgow Live
Glasgow Live
Christopher Harper & Abbie Meehan

Energy customers who use pre-payments could be forced to 'top up £15 every two days'

Energy bosses have warned that those who use a pre-payment meter could be forced to "top up" every couple of days.

This news comes as the new price cap is set to be announced in October 2022, reports Birmingham Live. Experts have warned that energy bills could see record highs of £5000 per annum, after the new price cap is announced.

OVO Energy boss Stephen Fitzpatrick has said that some of the households to be hit the hardest will see their bills quadruple in the current cost of living crisis.

READ MORE - Octopus Energy issues update to customers on £400 cost of living payment

The energy businessman also noted that energy price cap increases will hit 15 per cent of customers the hardest - the ones who use a pre-paid meter.

All in all, four million households use a pre-payment meter nationwide. These meters are installed usually because customers are already in debt, or need some extra support in managing money.

OVO is now backing a proposal that has been widely accepted across the energy industry, to force the Government to freeze bills for two years, utilising a fund that can be paid back over a decade.

One source told The Sun: "It would be a mega amount of money, but it’s a mega situation and takes away the sharp shock for households now.”

Managing director for customers at EDF, Philippe Commaret, has warned the nation faces a "catastrophic winter" unless the Government acts now.

Glasgow Live reported this week that Citizens Advice Scotland (CAS) said that soaring energy bills are driving "frightening" demand for advice around food insecurity.

It warned that it is already seeing an increase ahead of a "toxic cocktail" this winter of soaring energy bills, growing inflation and higher interest rates - and raised concerns about how people will manage later in the year.

Citizens Advice Scotland chief executive Derek Mitchell said: "The Citizens Advice network gives a wraparound service when people come to us for advice because people have complex problems and need help with multiple issues. Our data tracks the patterns and connections between the advice we are giving out and the problems society faces. What we are seeing is frankly frightening.

"More than one in every ten people seeking help with an energy issue also requires help with food insecurity. Let's be absolutely clear what that means - some people face the prospect of freezing or starving this winter.

"This crisis is affecting everyone, but some people are especially at risk - our data shows higher demand for advice from council tenants, those out of work and those unable to work. That to me suggests broad support alone will not be enough - there needs to be targeted help for the vulnerable.

"We are seeing these issues before a toxic cocktail this winter of soaring energy bills, growing inflation and higher interest rates. People are hanging on by their finger tips and it's the summer - how are they expected to cope when the temperature drops and bills rise?"

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