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The energy price cap will rise to an average annual £1,717 from October, the industry regulator has confirmed as the clock ticks down to the loss of winter fuel payments for millions of pensioners.

The new figure represents a 10% a year – or £12 per month – leap in the typical sum households face paying for gas and electricity when using direct debit.

Ofgem said that the rise was largely due to higher wholesale gas prices and it urged bill-payers to “shop around” as there are fixed rate deals on the market that could offer savings.

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Its decision means the cap, which is adjusted every three months and limits what suppliers can charge per unit of energy, will remain around £500 up on the average annual bill levels seen before Russia’s invasion of Ukraine.

It is, however, set to be £117 lower than the October 2023 level.

That gap may partly explain why chancellor Rachel Reeves likely opted to end winter fuel payments – worth up to £300 annually – for around 10 million pensioners not in receipt of means-tested benefits including pension credit.

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She blamed the measure, revealed last month, on the need to help plug a “black hole” in the public finances left by the Conservatives but has faced a widespread backlash including from within Labour’s own ranks.

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Cuts to pensioners’ winter fuel payments

Charities warn that heating costs remain punitive and a key plank of the continuing cost of living crisis that will force many to choose between heating and eating this winter.

Research by Citizens Advice suggests one in four could be forced to turn off their heating and hot water amid record levels of energy debt.

Energy Secretary Ed Miliband admitted the rise in the cap was “deeply worrying” but defended the cuts.

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Energy price cap rise ‘worrying’ for families

“The truth is that the mess that was left to us in the public finances is what necessitated that decision around winter fuel payment and us focusing it on those who need it the very most.

“That’s why this government is also driving throughout the coming months to get the people, the 880,000 pensioners who are entitled to pension credit and not getting it to try and get them to take it up, to make them aware of this so they can get the winter fuel payment as well.”

An updated forecast issued by the energy research consultancy Cornwall Insight predicted a further 3% hike in the cap during the peak use months of January-March to £1,762.

SHOULD I TAKE A FIXED DEAL?

Cast your mind back to before the COVID pandemic and you will remember that a reluctance among households to switch suppliers helped give birth to the energy price cap.

The majority of homes were on so-called default tariffs – sometimes through no choice of their own – but those able to choose and the more financially savvy had a fixed rate deal, often changing their supplier once a year to bring down their bills.

But they largely disappeared from view after dozens of suppliers collapsed amid a series of cost shocks, latterly caused by the invasion of Ukraine by Russia, forcing the bulk of households to hunker down and rely on the price cap.

It certainly is not perfect and is ripe for reform, as Ofgem has suggested again today.

A feature of the energy market this year has been the return of fixed rate deals.

They are fewer in number but can offer certainty on what you will pay over the term of the deal.

Ofgem figures show that around one million more households have taken that opportunity since April, bringing the total to five million.

Are they worth it? Is it too late?

The price comparison site Uswitch claimed today that savings of about £125 on the October price cap level are out there.

Emily Seymour, the energy editor at consumer group Which?, cautioned: “As a rule of thumb, we’d recommend looking for deals around the price of the current price cap, not longer than 12 months and without significant exit fees.”

Ofgem chief executive Jonathan Brearley said: “We know that this rise in the price cap is going to be extremely difficult for many households. Anyone who is struggling to pay their bill should make sure they have access to all the benefits they are entitled to, particularly pension credit, and contact their energy company for further help and support.

“I’d also encourage people to shop around and consider fixing if there is a tariff that’s right for you – there are options available that could save you money, while also offering the security of a rate that won’t change for a fixed period.

“We are working with government, suppliers, charities and consumer groups to do everything we can to support customers, including longer term standing charge reform, and steps to tackle debt and affordability.

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What is GB Energy and what will it do?

“Options such as changing how standing charges are paid and getting suppliers to offer more tariff choices and give customers more control are all on the table, but there are no silver bullets.

“Any change could leave some low-income households worse off, so it’s important we hear views on our proposals and continue working with the government to see what targeted support could help customers.

“Ultimately the price rise we are announcing today is driven by our reliance on a volatile global gas market that is too easily influenced by unforeseen international events and the actions of aggressive states. Building a homegrown renewable energy system is the key to lowering bills and creating a sustainable and secure market that works for customers.”

The government’s energy strategy includes measures to eradicate the country’s dependence on natural gas for heating and electricity through a greater commitment to wind power, including onshore.

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Starmer confident over lower bills

The hope is for lower bills in the future.

Jess Ralston, head of energy at the Energy and Climate Intelligence Unit said: “A lack of progress on energy efficiency and heat pumps means that our reliance on gas hasn’t fallen much in recent years, despite the volatility in the international markets forcing bills to skyrocket.

“The new government has made steps on renewables, but not confirmed its plans for home heating or insulation yet, and there is clearly no time to waste.

“Unless we start to reduce our demand for gas, we will only see our dependence on foreign imports rise. Oil and gas from the North Sea is sold on international markets to the highest bidder so doesn’t help with our bills or energy independence.

“With the removal of the winter fuel payment for some pensioners at the same time as bills going up, it’s likely that some will struggle and it remains to be seen if the government will bring in measures to support those worst hit by the removal of winter fuel payment.”

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Families of British Air India crash victims ‘feel utterly abandoned’ and hit out at government

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Families of British Air India crash victims 'feel utterly abandoned' and hit out at government

The families of three of the British victims of last week’s Air India crash in Ahmedabad have criticised the UK government’s response to the disaster, saying they “feel utterly abandoned”.

It comes after an Air India Dreamliner crashed shortly after take-off from Ahmedabad airport in western India, killing 229 passengers and 12 crew. One person on the flight survived.

Among the passengers and crew on the Gatwick-bound aircraft were 169 Indian nationals, 53 Britons, seven Portuguese nationals and one Canadian national.

In a statement, the families of three British citizens who lost their lives said they were calling on the UK government to “immediately step up its presence and response on the ground in Ahmedabad”.

The families said they rushed to India to be by their loved ones’ sides, “only to find a disjointed, inadequate, and painfully slow government reaction”.

“There is no UK leadership here, no medical team, no crisis professionals stationed at the hospital,” said a family spokesperson.

“We are forced to make appointments to see consular staff based 20 minutes away in a hotel, while our loved ones lie unidentified in an overstretched and under-resourced hospital.

“We’re not asking for miracles – we’re asking for presence, for compassion, for action,” another family member said.

“Right now, we feel utterly abandoned.”

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The families listed a number of what they called “key concerns”, including a “lack of transparency and oversight in the identification and handling of remains”.

They also demanded a “full crisis team” at the hospital within 24 hours, a British-run identification unit, and financial support for relatives of the victims.

A local doctor had “confirmed” the delays in releasing the bodies were “linked to severe understaffing”, according to the families, who also called for an independent inquiry into the UK government’s response.

“Our loved ones were British citizens. They deserved better in life. They certainly deserve better in death,” the statement added.

Sky News has approached the UK’s Foreign, Commonwealth and Development Office for comment.

Families and friends of the victims have already expressed their anger and frustration – mostly aimed at the authorities in India – over the lack of information.

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Tributes paid to mother-of-four among two skydivers who died in ‘tragic accident’

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Tributes paid to mother-of-four among two skydivers who died in 'tragic accident'

A mother-of-four was among two skydivers who died following a “tragic accident” at an airfield in Devon.

Belinda Taylor was pronounced dead at the scene following Friday afternoon’s incident in the area of Dunkeswell Aerodrome near Honiton.

On Facebook, her partner Scott Armstrong wrote: “I miss you so much, you were my best friend.

“Thank you for everything you’ve done for me, from making my children feel at home to putting up with my mess.

“… there’s just so much that I don’t have the words to express it.

“I feel so lost. I don’t know where home is without you.”

Dunkeswell Aerodrome. Pic: Google Street View
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Dunkeswell Aerodrome near Honiton, Devon. Pic: Google Street View

Ms Taylor’s eldest son, Connor Bowles, paid tribute to a “selfless woman” who was also a grandmother to two young children.

Thanking investigators for their work so far, he told DevonLive: “She will be deeply missed and will leave an everlasting impression on all those she has met in life.”

The identity of the second skydiver who died is yet to be made public, but their family has been informed.

British Skydiving has confirmed it will be investigating the incident – with a report sent to the coroner, the Civil Aviation Authority and the police.

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In a statement, SkydiveBuzz, which operates at the airfield, said its “deepest condolences go out to the families, friends and everyone affected by this devastating event”.

A spokesperson added: “Safety is, and always has been, our top priority. We are fully cooperating with the investigation and continue to uphold the highest possible standards in everything we do.

“No further details will be provided at this time. We respectfully ask for privacy for all those affected, including our team, during this incredibly difficult time.”

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Career spy Blaise Metreweli to become first woman to head MI6

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Career spy Blaise Metreweli to become first woman to head MI6

Career spy Blaise Metreweli will become the first woman to head MI6 in a “historic appointment”, the prime minister has announced.

She will take over from Sir Richard Moore as the 18th Chief, also known as “C”, when he steps down in the autumn.

“The historic appointment of Blaise Metreweli comes at a time when the work of our intelligence services has never been more vital,” Sir Keir Starmer said in a statement released on Sunday night.

“The United Kingdom is facing threats on an unprecedented scale – be it aggressors who send their spy ships to our waters or hackers whose sophisticated cyber plots seek to disrupt our public services.”

Of the other main spy agencies, GCHQ is also under female command for the first time.

Anne Keast-Butler took on the role in 2023, while MI5 has previously twice been led by a woman.

Until now, a female spy chief had only headed MI6 – also known as the Secret Intelligence Service (SIS) – in the James Bond movies.

A motorboat passes by the MI6 building in Vauxhall, London. Pic: Reuters
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Blaise Metreweli is the first woman to be named head of MI6. Pic: Reuters

Dame Judi Dench held the fictional role – called “M” in the films instead of “C” – between 1995 and 2015.

Ms Metreweli currently serves as “Q”, one of four director generals inside MI6.

The position – also made famous by the James Bond films, with the fictional “Q” producing an array of spy gadgets – means she is responsible for technology and innovation.

Ms Metreweli, a Cambridge graduate, joined MI6 in 1999.

Unlike the outgoing chief, who spent some of his service as a regular diplomat in the foreign office, including as ambassador to Turkey, she has spent her entire career as an intelligence officer.

Much of that time was dedicated to operational roles in the Middle East and Europe.

Ms Metreweli, who is highly regarded by colleagues, also worked as a director at MI5.

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In a statement, she said she was “proud and honoured to be asked to lead my service”.

“MI6 plays a vital role – with MI5 and GCHQ – in keeping the British people safe and promoting UK interests overseas,” she said.

“I look forward to continuing that work alongside the brave officers and agents of MI6 and our many international partners.”

Sir Richard said: “Blaise is a highly accomplished intelligence officer and leader, and one of our foremost thinkers on technology. I am excited to welcome her as the first female head of MI6.”

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