Around 24 million UK households are expected to be affected.
The energy price cap is to be a hiked by a record 80% from October to £3,549 a year, Ofgem has confirmed this morning, reports The Manc.
As the rising cost of living crisis worsens and continues to make its impact felt nationwide, and after inflation hit another new 40-year UK high of 10.1% earlier this month, millions of households across the UK on a typical default tariff are set pay an extra £1,578 on their energy bills in as the price cap is raised from 1 October 2022.
It follows an already 54% increase in April, which saw average bills surge to £1,971 a year, and comes ahead of the predicted tripling of average bills in April 2023.
Around 24 million UK households are expected to be affected by the price spike.
The new price cap level is based on "a transparent methodology and calculations" by energy price regulator Ofgem.
The price cap puts a maximum per unit price on energy that reflects what it costs to buy energy on the wholesale market and supply it to our homes, and it also sets a strict and modest profit rate that suppliers can make from domestic energy sales - but, unlike energy producers and extractors, most domestic suppliers are currently not making a profit, according to Ofgem.
Ofgem says the price cap increase reflects the "continued rise in global wholesale gas prices" - which began surging post-lockdown and have been driven to record levels by Russia slowly switching off gas supplies to Europe.
The confirmed energy price cap rise also comes as Ofgem’s CEO warns of the hardship energy prices will cause this winter and urges the incoming Prime Minister and new cabinet to provide "an additional and urgent response" to continued surging energy prices.
"We know the massive impact this price cap increase will have on households across Britain and the difficult decisions consumers will now have to make," said Jonathan Brearley - CEO of Ofgem.
"I talk to customers regularly and I know that today’s news will be very worrying for many.
"The price of energy has reached record levels driven by an aggressive economic act by the Russian state. They have slowly and deliberately turned off the gas supplies to Europe causing harm to our households, businesses and wider economy [and] Ofgem has no choice but to reflect these cost increases in the price cap.
Ofgem raises energy price cap to £3,549 from October / Credit: Pxhere
"The government support package is delivering help right now, but it’s clear the new Prime Minister will need to act further to tackle the impact of the price rises that are coming in October and next year.
"We are working with ministers, consumer groups and industry on a set of options for the incoming Prime Minister that will require urgent action [but] the response will need to match the scale of the crisis we have before us.
"With the right support in place and with regulator, government, industry and consumers working together, we can find a way through this."
Get ready to enjoy a taste of the Caribbean as Jerk Junction is gearing up to open in Leeds.
The street food favourite has made waves in the foodie scene over in Manchester and Liverpool, so it's only right that its making its way into Trinity Kitchen.
Jerk Junction specialises in authentic Caribbean flavours, from dumplings and jerk chicken to curried goat and rice and peas, it's all flame-grilled and packed with island spices.
It is expected to open this spring.
Image: The Manc Group
Steven Foster, Centre Director at Trinity Leeds, said: “We’re so excited to be welcoming Jerk Junction to Trinity Kitchen and we’re sure it will prove very popular. Bringing an authentic Caribbean flavour to Leeds, it’s the perfect new addition and complements our already stellar line-up of street food vendors.”
Jake Shaffi, founder at Jerk Junction, said: “Jerk Junction is all about real Caribbean food and culture. Everything we do is rooted in Jamaican tradition, from bold spices and authentic cooking to dishes that bring people together.
“For us, food is family. From our kitchen to every person who comes to our counter, we want people to feel the warmth, the energy and the spirit of the islands. We can’t wait to bring those authentic flavours and good vibes to Trinity Kitchen.”
The announcement follows news that the UK’s largest independent boutique bowling brand Lane7, and footwear retailers schuh and Footasylum, would be opening at Trinity Leeds later this year, whilst the LEGO Store will be relocating to a larger space within the shopping centre.
Posting to their social media, The Maven said: "When news broke The Maven could close its doors at the end of March, the reaction across the city was immediate. The response from customers, bartenders, and hospitality operators showed just how much this bar means to Leeds.
"For nearly 15 years, The Maven has been one of the city’s most loved cocktail destinations and a true institution within the local bar scene.
"When we told you about its potential closure we were flooded with support and interest from across the hospitality community. In the days that followed, several Leeds-based operators stepped forward with genuine offers to buy the venue and keep the bar alive.
"At a time when our industry is too often filled with stories of closures, today brings a little hope - a story about a community stepping up to protect something it values.
"The reports that The Maven would close at the end of March are now firmly in the past: The Maven Lives.
"Thanks to the passion of the Leeds hospitality community and the loyalty of its guests, the bar will continue to be part of the city’s nightlife story. More details about the next chapter for The Maven will be shared soon."
The Hoot -
26th August 2022 
