It has been reported that the rise in energy bills will affect approximately 22 million people in the UK.
The energy price cap will be raised from April 1, 2022, due to a surge in global gas prices, with the cost of gas quadrupling o the last year.
The whole of the country is feeling the pinch, including those living in the Capital.
What is the energy price cap?
According to Ofgem, “The energy price cap is a way to protect customers that end up on a supplier’s basic default energy tariff . It ensures a fair price, and that customers see savings when supply costs fall.”
The price cap is updated twice a year, and prohibits energy companies from making extortionate sums of money but charging people too, essentially ripping people off.
The price cap will rise by £693 from April. Energy companies are having to pay more, therefore are able to charge customers more to ensure they can operate at a profit.
What is the rebate?
The rebate is a £150 council tax energy grant to help those who may struggle financially due to the rise in energy bills.
Energy prices have soared as the world starts to get to life as we knew after the Covid-19 pandemic, causing a rise in the demand and therefore the price goes up too.
The rebate will not have to be repaid as it is part of a £3 billion scheme, in order to assist people and help them cope with the hefty rise.
Who is eligible for a council tax rebate?
All households in London and Britain in the tax band of A - D will be eligible for the £150 rebate.
The rebate will not be available to second homes or empty properties.
How do I check my tax band?
Some people may not know what tax band their household is in, however, it is very easy and quick to find out.
All you have to do to find what band you’re in is go on to the Government websites band checker.
Click the green button that says ‘start now’, enter your postcode and it will instantly tell you what band your household is in.
How do I receive the rebate?
If you pay your council via direct debit, the money will automatically be credited to your account.
Payments were expected to be paid out at the start of May, but, in a blow to those who need it most, families may now have to wait until September to receive the money.
It was reported that thousands of households had received the rebate money as of Wednesday, 20 April, 202, but now local authorities now have until 30 September to issue the money.
For residents who qualify for the rebate but do not pay their council via direct debit, London City Council will write to you in due course over how to receive the £150.
If you wish to set up a direct debit, you can visit the London City Council website to download a form, before filling it out and sending it off.
It was reported that thousands of households had received the rebate money as of Wednesday, 20 April, 2022.