Portsmouth neighbourhoods set to be worst impacted by energy crisis when price cap rises in October

Climate charity Friends of the Earth said there is ‘no downplaying’ the catastrophic energy disaster facing millions of people this winter if bills rise as expected without government intervention.

Analysis by Friends of the Earth shows 11 out of 125 neighbourhoods in Portsmouth are at greatest risk of financial hardship when the price cap rises in October.

It means nine per cent of neighbourhoods in the area are among the worst impacted across England and Wales.

Nationally, nearly 9,000 areas have been classed as ‘energy crisis hotspots’.

Friends of the Earth analysed smart meters and unmetered fuel consumption to determine areas where energy use is above normal levels.

It says neighbourhoods with above-average costs and lower than average household income are defined as energy crisis hotspots.

Cornwall Insights predicts that after the price cap has risen in October, an average household will pay bills of more than £3,600 per year, significantly more than double the £1,400 figure last October.

From January, this is predicted to further increase to £4,300 and the consultancy group expects bills to remain high throughout 2023.Energy regulator Ofgem is due to announce the new price cap – which will come into effect at the start of October – on Friday, August 26.Friends of the Earth has urged the government to provide meaningful intervention before the autumn price cap rise instead of the ‘woeful and poorly targeted cash handouts’ announced in April.The Department for Business, Energy and Industrial Strategy said it is providing £37bn worth of support to help households during the cost-of-living crisis.Mike Childs, head of science, policy and research at the charity, added: ‘By rolling out a free programme of street-by-street energy efficiency measures and prioritising the most in-need neighbourhoods, we can help to bring bills down quickly, make homes warmer and slash Earth-warming emissions at the same time.’

In Portsmouth, 3,590 homes require cavity wall insulation and 2,180 need loft insulation.

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A government spokesperson said: ‘We are investing £6.6bn in this parliament to improve energy efficiency as part of the government’s Help to Heat programme, which is helping make households cheaper to heat.’