The New Economics Foundation (NEF) is urging the Chancellor, John Healey, to make winter energy support universal in Wednesday's Budget. It says a bank windfall tax or reform of capital gains tax could pay for it. This is a campaigner's proposal, not a government plan.
Writing in an exclusive for The Independent, the think tank proposes a "national energy guarantee" that would cap the price of a block of essential energy at late 2024 levels. It puts the cost to the Treasury at £6bn.
NEF says the guarantee, combined with an expanded Warm Home Discount, would save households receiving benefits an average £290 from January, and all other households £190. These figures have not been independently checked.
The Warm Home Discount is currently £150. Reports indicate it could rise to as much as £300, though earlier reports put the figure at £250. Up to six million households received the discount last year, according to The Independent.
"Providing a universal package of support for energy bills this winter is the only way the government can guarantee that every household needing support will receive it and ensure no one is left behind."
The Energy Secretary, Miatta Fahnbulleh, ran NEF for six years. EDF predicts the Ofgem price cap could rise by as much as £442 in the new year, a 25% increase, The Independent reports.