Chancellor John Healey is planning to spend more than £1bn in this month's budget to cut energy bills for poorer UK households, according to The Guardian. The intervention comes after ministers became alarmed at forecasts showing bills rising by hundreds of pounds in January.
The bulk of the spending is likely to go towards increasing the discount given to households on certain benefits, The Guardian reports. Officials are also working on further radical changes that would alter how much energy companies could charge customers, the outlet says.
The source material does not provide specific details about the proposed mechanism for changing energy company charges, the exact household income thresholds for assistance, the size of the benefit discount increase, or when the budget announcement will occur beyond "this month."