Russia’s invasion of Ukraine risks deepening the cost of living crisis that is already hitting the UK, households are being warned.
From April, homes across Merseyside will be faced with a 54% increase in energy prices as annual fuel bills could rise from £1,277 to just under £1,971.
Those on a prepayment meter will also see an increase of £708 from £1,309 to £2,017.
READ MORE: How Russia's invasion of Ukraine could affect the United Kingdom
However there are fears energy prices could soar even further as a result of Russia’s actions in Ukraine.
Global gas and oil prices have rocketed by as much as 40% as Russia is a major producer of both.
Currently the UK gets a small proportion of its gas supplies from Russia, but wider Europe is heavily reliant on Russia for energy - meaning the UK could be drawn into the harsher market if supplies slow down as a result of sanctions and the ongoing invasion.
October was already going to heap more pressure on homes across Merseyside as the price cap rises, but according to investment house Investec, the price cap running from 1 October 2022 to 31 March 2023 could rise to £3,000 based on today’s wholesale prices.
This could be introduced by regulator Ofgem to stop energy companies from paying for the difference between wholesale prices and the energy price cap set to be introduced from April 1.
The potential further rise in energy prices comes as petrol prices are expected to climb above £1.50 per litre, according to the RAC.
This could rise as much as £1.70 per litre, according to chairman of the Foreign Affairs Committee, Tory MP Tom Tugendhat.
The current higher rate of inflation is already making food shopping more expensive, with fears the war in Ukraine could impact on global wheat supplies - raising the price of flour and bread.
A further rise in national insurance is also set to hit households from the beginning of April, with households already worse off after the Universal Credit Uplift was removed last year.
This year the ECHO has reported on how people across Merseyside are being impacted by the cost of living crisis.
It has been revealed that families are having to choose between heating their homes or washing children’s school uniforms in a bid to keep energy bills down.
There have also been stories of how one couple’s current benefits support payments already do not cover their monthly bills and have had to resort to selling wedding rings to keep their heads above water.
In Walton, one of the most deprived wards in the country, local Cllr Gerard Woodhouse explained how the cost of living crisis could have fatal consequences - something that could be worsened should energy prices be further inflated by the ongoing invasion of Ukraine.
Speaking to the ECHO earlier this month, he said: “[The energy price rise] is going to be the cause of people’s deaths.
“People are already worried about this - 95% of the people we support are on payment meters and have to pay before they get their fuel. They aren't going to manage.”
Speaking to the ECHO last month, Helen Fisher, energy and efficiency champion at Liverpool Community Advice Centre, also said the consequences of the cost of living crisis could be fatal and that more support will be needed for households.
She added: “Benefits aren’t going up by anything significant. People are not going to get a pay rise in April. They’re not going to be able to afford [the rising costs].
“It’s going to have catastrophic consequences. People are in abject poverty at the moment.
“It’s a perfect storm. Unless the government steps in then people are going to die.”
