Rishi Sunak expected to give people £500 to help with soaring energy bills

Rishi Sunak is expected to announce new plans to help Brits with the soaring cost of living after officials warned energy bills could hit almost £3,000 by the end of the year.

Yesterday, Ofgem said it is expecting an energy price cap in October ‘in the region of £2,800’ per year. This comes after the price cap went up to £1,971 on April 1st, adding an average of £700 a year to bills for millions of customers.

So far, the government have faced intense scrutiny for their response to the cost of living crisis, which has included a £150 council tax rebate and a £200 energy bill discount, due to be back over five annual £40 payments.

But now, it has been reported that the Chancellor is working on a ‘major intervention’ with the Prime Minister to help millions of families with the rising costs.

While government officials remain tight-lipped about the new support package, reports claim that Sunak is meeting with Boris Johnson today to ‘sign off’ on a ‘multi-billion-pound’ plan, with a package likely to be unveiled tomorrow.

The support package is rumoured to include a major increase in the Warm Home Discount scheme, which could go up from £150 to £500 for three million low-income households.

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The scheme is available now to low-income households – usually on certain benefits – to help with energy bills. This year the payment is £140 – but it was already due to rise to £150 next year.

The Times said other measures expected to be introduced include increases a new windfall tax on energy firms, a winter fuel allowance and a cut in council tax.

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Cabinet minister George Eustice confirmed these reports this morning, telling LBC: “My understanding is that he [the Chancellor] is looking at things and we may hear more this week.

“We have got to try to dampen that inflation and that means showing some restraint but, equally, helping people, particularly those on the lowest incomes, who will struggle with some of these price rises.”

This comes after Boris Johnson admitted his government haven’t been doing enough to help the British public cope with the cost of living crisis.

In a heated interview with Good Morning Britain at the start of this month, the Prime Minister said: “What we’re doing is helping people with the cost of energy… I accept that those contributions from the taxpayer aren’t going to be enough immediately to help cover everybody’s cost… There is more that we can do.”