The End Fuel Poverty Coalition has written to ministers urging the Government to prepare an emergency energy support framework to protect households from rising energy bills as global fossil fuel prices remain volatile.
In a new policy proposal sent to the UK Government, the Coalition warns that the current gas and oil price crisis could see millions of households in fuel poverty if bills increase again from July.
While the Ofgem energy price cap is set to fall slightly from April 2026, rising wholesale gas prices mean bills could rise sharply again this summer. Early projections suggest the average annual bill could increase and, as a result, the Coalition estimates that around 13 million households will be left spending more than 10% of their income on energy, with c.5 million spending more than 20%.
Some households are already feeling the impact of rising costs. Off-gas households relying on heating oil have reported refill prices doubling in recent weeks, LPG customers are facing rising prices, while heat network customers could soon face steep increases as energy supply contracts expire.
The Coalition’s proposals focus on targeted support for households most exposed to high energy costs, while retaining the ability to expand support more widely if the crisis deepens.
The immediate measures recommended include a new, longer-term, Alternative Fuel Support Scheme for households relying on heating oil, LPG and other off-gas-grid fuels, as well as support for heat network customers who face rising commercial energy prices.
The proposal also recommends preparing a targeted reduction in energy unit rates from July if the Ofgem price cap rises significantly, alongside faster rollout of a national energy debt relief scheme to address record levels of household debt.
For the winter, the Coalition is calling for reforms to existing schemes including further expansion of the Warm Home Discount and strengthening Cold Weather Payments so support reaches vulnerable households earlier.
Ministers are also urged to speed up reform to electricity pricing and prepare a scalable universal support package that could be activated quickly if energy prices spike further.
The Coalition says the proposals are designed to complement longer-term policies such as the Government’s Warm Homes Plan and Clean Power Plan, which aim to reduce energy bills permanently by improving energy efficiency and reducing reliance on fossil fuels.
However, campaigners warn that households still need protection from price shocks in the meantime.
Simon Francis, coordinator of the End Fuel Poverty Coalition, said
“Millions of households are still recovering from the last energy crisis, with record levels of energy debt and many already struggling to afford their bills.
“The risk is that we see another wave of fuel poverty driven by the oil and gas price crisis caused by Trump’s war in the Middle East.
“This is history repeating itself and rather than making snap decisions, the Government should establish an emergency support framework now, so households know what support can be expected.
“Reducing energy price spikes benefits the whole country. It helps limit inflation, reduces pressure on household finances, prevents worsening fuel poverty and cuts the health impacts associated with cold homes.
“This support should be funded fairly. Energy companies and other parts of the energy industry make huge profits during periods of price volatility, so it is only right that windfall taxes and excess profits are used to help protect households from another energy price shock.”
Maria Booker, Head of Policy, Fair By Design, commented:
“The Government must use the next two and a half months to design an emergency support package that is both effective and fair. Support should be carefully targeted towards those who need it most and funded in an equitable way.
“This shock is yet another reminder of why the Government must accelerate progress on data‑matching capabilities so that support can be better targeted.
“Ultimately, reducing our reliance on fossil fuels and transitioning to clean power generated here in the UK, will mean we are not at the mercy of global energy shocks like this in future.”
Uplift Deputy Director Robert Palmer said:
“Everyone in the UK is going to pay the price if this reckless conflict continues via a ‘Trump War Tax’ that could add thousands of pounds to people’s bills.
“We risk seeing higher energy bills, more expensive petrol, pricier mortgages and bigger food bills. It’s good to see some immediate support from the government on heating oil and it’s crucial that the government provides further support if it’s needed on bills.
“The UK must also plan for the long term. What we need is to ramp up the shift to renewable power so we have cheaper energy, secure supply and a cleaner environment. Oil and gas profiteers, who stand to make billions out of the Iran crisis, should pay their share of any financial help.”
Morgan Vine, Director of Policy and Influencing at Independent Age said:
“It is clear that support is needed for older people in financial hardship who are understandably anxious about what the fuel crisis could mean for them. With over half of older people on a low income already finding it a struggle to keep up with their energy bills, many are already making tough choices, not turning the lights on at night, heating only one room even in the depths of winter, or washing in cold water.
“Older people on low incomes can’t afford to absorb any more costs; they’re already at breaking point. The UK Government must take comprehensive action now to protect everyone on a low income from sky-high energy prices.”
Jonathan Bean, spokesperson for Fuel Poverty Action, said:
“Any emergency support must recognise that electric-only homes face much higher unit prices than oil and gas households due to our rigged energy market.
“The Government must urgently break the link between gas and electricity which allows firms to inflate the price of cheap renewable energy.
“The Prime Minister must also get a grip on the huge profits that already make up £500 of the average energy bill. If the Government was serious about bringing down our bills, they would work with Ofgem to cut profits and pass the savings back to us.”
Susie Elks, Senior Policy Advisor on the UK Power System at E3G commented:
“In spite of this crisis, the government must continue to resolve the challenges which are increasing some of the underlying drivers for bills. They must lower the cost of ‘hidden taxes’ on bills, which add £11bn to households and business energy bills.
“They must solve the energy debt crisis, which is adding £50-£70 to every household’s bill.
“They must find a way for us to modernise our energy networks, which have been chronically underinvested in, whilst managing the costs to households.”
Ian Preston, Director of Development and External Affairs from the Centre for Sustainable Energy commented:
“Another fossil fuel price crisis, when many households still haven’t recovered from the last one, underlines the urgent need to support households to switch to heat pumps powered by homegrown renewable energy generation as quickly as possible. But, in the meantime though, bill payers, especially those reliant on oil or LPG, need bill support to stay warm this coming winter.”
The End Fuel Poverty Coalition brings together more than 100 charities, health organisations, housing groups, trade unions and consumer bodies working to end fuel poverty across the UK.
The full proposal has been shared with ministers and officials and the Coalition has offered to meet with the Government to discuss how the measures could be implemented.
ENDS
The full proposals can be read here.
Fuel poverty calculations are extrapolations using analyst forecasts of average energy bills and based on the data compiled in 2025 https://www.endfuelpoverty.org.uk/fuel-poverty-statistics-show-12-million-households-struggling/