Families hardest hit by energy crisis could be given funds dispensed by councils in England

The chancellor, Rachel Reeves, is examining plans to support households with energy bills forecast to hit nearly £2,000 a year from July. Photograph: House of Commons/Reuters

Families hardest hit by the looming energy crisis caused by the Iran war could be given funds dispensed by local councils, under plans being considered by UK ministers keen to keep a lid on costs.

As concerns increase about the impact of rising fuel and energy costs in response to a drawn-out conflict in the Middle East, a government official said several options for extending support were being debated inside Whitehall.