Energy bills are expected to increase to £4,266 in January according to Energy Consultancy Insight

Energy bills are expected to hit £4,266 in January, according to Energy Consultancy Insight.The bills have also been predicted to reach £3,582 a year from October this year for the average household.This is higher than the predicted £3,359 earlier this month, as well as October 2021's price cap of £1,277.After January 2023's expected £4,266, the energy bills are expected to rise even further to £4,427 in April.

Dr Craig Lowrey, principal consultant at Cornwall Insight told Sky News: "The cost of living crisis was already top of the news agenda as more and more people face fuel poverty, this will only compound the concerns."He continued: "Rather than critiquing the methodology of the cap, it may be time to consider the cap's place altogether.

"After all, if it is not controlling consumer prices, and is damaging suppliers' business models, we must wonder if it is fit for purpose - especially in these times of unprecedented energy market conditions."It is essential that the government use our predictions to spur on a review of the support package being offered to consumers."Lowrey went on to add:

"If the £400 was not enough to make a dent in the impact of our previous forecast, it most certainly is not enough now."Right now, the current price cap is not working for consumers, suppliers, or the economy."Head of policy at Uswitch.com Justina Miltienyte, stated: "Every week brings more bad news about how high the price cap is likely to soar, and these latest suggestions must stir the government to act now before it's too late."The energy bill support needs to be urgently reviewed."The new predictions will leave a lot of people worried about how they are going to afford their bills this winter and beyond, based on the sky-high predictions through to next October."