Lower bills won’t stop the struggle for millions warns Fuel Bank Foundation

February 11, 2026

Lower bills won’t stop the struggle for millions warns Fuel Bank Foundation Featured Image

The national fuel poverty charity, Fuel Bank Foundation, warns that fuel poverty will persist year round despite the forecast reduction in energy bills.

Energy bills are set to fall from 1st April following Ofgem’s next price cap announcement, but millions of households will still struggle to afford basic energy needs, the Fuel Bank Foundation has warned.

Fuel Bank Foundation forecasts that on 25th February, Ofgem will announce a £117 reduction in the price cap, effective from 1st April. This would cut the average annual bill for households paying by direct debit from £1,758 to £1,641, and for prepayment meter customers from £1,711 to £1,594.

A fall driven by policy – not cheaper energy

While the forecast reduction is good news, Fuel Bank Foundation stresses that it is driven by the removal of policy costs from bills, rather than a drop in the actual cost of energy, and warns that this risks masking the true scale of the problem.

Even after April’s reduction, households will still be paying around £500 more each year than before the energy crisis began. Average energy bills stood at £1,137 when the price cap was introduced in 2019, falling to a low of £1,042 in October 2020.

“Any reduction in energy bills is welcome and the forecast that average bills will fall below £1,600 for prepayment meter customers for the first time in years is a milestone worth recognising. We’re encouraged to see the Government taking action, particularly by removing policy costs, such as those from the ECO scheme, from people’s bills. This is something we’ve long called for, and it’s positive to see some of our key policy requests being addressed."
"But we cannot ignore the bigger picture here and we shouldn’t pretend this solves fuel poverty. It doesn’t. People are still paying hundreds of pounds more than they were just a few years ago and the cost of living has risen across the board. For many households, energy simply remains unaffordable.”
Matthew Cole, CEO of Fuel Bank Foundation

Fuel Bank Foundation warns that households are still left exposed. When the lower price cap takes effect in April, there will be no further energy support for struggling families until next winter. Those eligible have already received the Warm Home Discount, leaving low-income households without any targeted help over the summer months.

The charity says this creates a dangerous gap, fuel poverty does not simply stop when winter ends.

Last year, Fuel Bank Foundation supported just under 60,000 households between June and the end of September 2025, with 20% of all people helped coming to the charity during the summer months.

Matthew added:

“There’s a dangerous and persistent assumption that people don’t struggle with energy costs once the weather warms up. Even in summer, energy is essential, people need it to cook meals, wash clothes, stay clean, refrigerate food and medicines, and power medical equipment. These are basic needs, not luxuries.

“Not having support available just because the weather improves leaves people exposed, and we know from our own insight and data that tens of thousands will struggle this summer and as we head into winter.”

Millions still in debt, costs still rising

“Many people are still carrying energy debt built up over years of sky-high bills and so, despite the forecast drop in April, a small reduction simply doesn’t undo that damage.”

At the same time, the charity also warned that essential future investment in our energy system, critical for reducing bills in the long term, must not be funded on the backs of those already struggling.

“We know substantial investment in our energy system is needed, and the costs have to be paid by someone, but it cannot be households who are already unable to afford their energy. People are being pushed to breaking point.”

What needs to change

“There’s a lot of uncertainty ahead that we cannot control, but where we can take a stand – on issues such as who foots the bill for investment in our energy system and the urgent need for targeted government support – we will continue to do so loudly and relentlessly.”

Fuel Bank Foundation is also calling for targeted, long-term support that reflects how people actually use energy throughout the year, not just during the coldest months. It’s campaigning for measures such as simplified prepayment, smoothing seasonal costs, pausing debt recovery during winter and reform of standing charges. It is also urging the Government to prioritise retrofitting existing homes to ensure they are high-quality and energy efficient.

“We need a system that recognises energy as essential, not optional. Short-term fixes aren’t enough. Without meaningful, long-term support, fuel poverty will remain a daily reality for millions.”
Matthew Cole, CEO of Fuel Bank Foundation