The key dates coming up in the cost of living crisis

·Freelance Writer
·3-min read
File photo dated 15/09/14 of shoppers, as consumer confidence rose in July, possibly due to the Government's cost of living payments, according to a YouGov survey.
Households are facing a record squeeze to their spending power (PA Images)

With the colder months fast approaching, households face months of soaring energy bills, double-digit inflation and an economy heading into a potentially lengthy recession.

Fuel prices and food bills have seen substantial rises in recent months, while the energy price cap is set to rise from October in England, Scotland and Wales – sending the average yearly bill from £1,971 to £3,549.

The next few months will see several key dates in the cost of living crisis that people should keep an eye on as they may provide relief – or further worry – throughout winter.

Liz Truss or Rishi Sunak will face pressure to announce how they will deal with the cost of living crisis if they become PM. (PA)
Liz Truss or Rishi Sunak will face pressure to announce how they will deal with the cost of living crisis if they become PM. (PA)

5 September

Following weeks of debates, soundbites and policy announcements, 5 September will finally see either Liz Truss or Rishi Sunak announced as the new prime minister.

Both Truss and Sunak have said they will say more about helping millions struggling with their finances if – or when – they become the new PM.

Truss, who is expected to win, has been more tight lipped about what help she would be willing to offer.

With the cost of living crisis being at the front and centre of the new leader’s workload, more details about how they plan to deal with the crisis can be expected shortly after they take office.

Johnson confirmed that the public should expect the announcement of new help, telling reporters on Tuesday: "There’s a huge amount coming... what the government is also going to do is provide a further package of support for helping people with the cost of energy."

Watch: Millions of Brits face fuel poverty as energy bills rocket

14 September

The Office for National Statistics (ONS) will release the next set of UK inflation figures on 14 September.

Already at a 40-year high, inflation is expected to rise from the 10.1% figure from July, piling pressure on the nation's finances.

Higher inflation means higher prices – and will come at a time when people are already struggling to pay their bills.

15 September

The next interest rate announcement from the Bank of England will be on 15 September – and it is expected to rise from 1.75% as it tries to deal with high inflation.

People who have applied for loans to help ease the financial burden could face larger repayments as the result of any rise – predicted to be another 0.5%.

Millions of households paying standard variable rate mortgages will also see their monthly payments increase.

Inflation in the UK stands at its highest level for decades. (Yahoo News)
Inflation in the UK stands at its highest level for decades. (Yahoo News)

September/October

The new PM is expected to announce a new emergency package to help struggling households in the first few weeks of their premiership.

A date will be announced once the winner is in place but pressure will be on to deal with crisis quickly.

1 October

The start of October will be when the energy price cap increases to £3,459 – the price for the annual bill for a typical household.

The cap comes as temperatures are set to dip as autumn bites – meaning putting the heating on will be an extremely costly experience.

The price cap was previously changed twice a year, but Ofgem is now allowed to review it every three months with changes expected in January, April, July and October 2023.

Energy prices are set to rise substantially over the winter months. (Getty)
Energy prices are set to rise substantially over the winter months. (Getty)

1 January

The energy price cap will be adjusted again at the end of the year, with experts predicting a rise to over £5,000.

Such a huge increase could mean any measures announced to help the poorest already being insufficient – meaning the government may need to step in once again.

The new price cap will likely be announced in mid to late November and be implemented from 1 January, 2023.