Citizens Advice responds to Ofgem's latest price cap announcement
Responding to the latest Ofgem price cap announcement, Dame Clare Moriarty, Chief Executive of Citizens Advice, said:
"A fall in energy prices is welcome but for many people bills remain stubbornly high. For millions of households this has stopped being a temporary hardship and become an ongoing threat to their financial stability.
"The Government has taken steps in the right direction to bring down bills. However, planned changes to how Warm Home Discount costs are recovered mean those who need it most - households on low incomes with the highest energy needs - could keep as little as half the support in practice.
“The divide between those who can and cannot keep their homes warm and safe demands urgent action. Too many people, particularly those with disabilities, families with children, and renters, remain trapped in cold, damp homes they cannot afford to heat.”
New Citizens Advice research shows:
9.4 million households have been worried about paying their energy bills this winter, equivalent to 33% of all households
5.7 million households have been unable to heat their homes to a comfortable temperature
6.8 million households find it difficult to reliably afford their energy bills
“I’ve moved into one room, the living room. I sleep in here and I almost never put the central heating on – all to save money on energy costs.”
Dennis is 58 and lives alone in Bristol. He spent his career working as a self-employed tiler, but had to stop working when he was diagnosed with skin cancer in 2023. He relies on Universal Credit to pay his bills, having exhausted all his savings.
“My energy bills are £67 a month. That’s not as much as some people’s, but it’s a lot when you’re on a low income. And it’s just for electricity – I don’t put the gas on to save money. The only electricity I use is on the TV, toaster, microwave, shower and fridge.
“I’ve moved into one room, the living room. I sleep in here and I almost never put the central heating on – all to save money on energy costs. When my flat is so cold, it’s hard to wash clothes because they won’t dry.
“Not being able to heat my home properly absolutely affects my mental health. Over the winter I’ve been wrapping up and going to bed at 7pm, just to stay warm. Any help with energy bills would improve my situation.”
The crisis is hitting some groups particularly hard:
35% of renters struggle to reliably afford their energy bills, with as many as half having experienced cold, damp and mouldy houses
Households with children, those with disabilities or long-term health conditions, and those on means-tested benefits face persistently higher energy needs with less ability to cut back. While around a quarter of households (24%) find it difficult to afford their energy bills, for renters, single parent households and disabled households that figure is as high as a third (35%, 39%, 35% respectively).
Citizens Advice is calling on the Government to reform the Warm Home Discount so that support is tiered according to households' actual energy needs, ensuring the highest-need households receive the most help.
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Notes to editors:
Our new energy affordability report ‘Getting Warmer?’ is available on the Citizens Advice website.
The Warm Home Discount is a £150 payment towards energy bills that is funded through bills. From 2026, the Government is changing how it is recovered via bills, moving the costs from standing charges to unit rates. This means instead of a fixed amount to all consumers, regardless of their energy usage, consumers who use more energy will pay more towards the scheme. The new proposals will see low income households with higher heating needs pay an even greater contribution to the cost of the scheme. This could reduce the net benefit of the WHD scheme to them from £110 to £75.
Data taken from a Citizens Advice commissioned survey by Yonder Consulting between 6th January - 18th January 2026, with 4,364 respondents from a national representative GB sample.
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