Ed Miliband’s plan to slash energy bills by £300 in tatters as families face brutal tax HIKES this winter

Ed Miliband’s vow to cut energy bills by £300 lay in turmoil as price cap rises for families heading into the winter months.

Typical household bills will hit £1,755 from October, up 2 per cent, as they also face the prospect of further tax hikes and higher food bills this autumn.

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The energy costs will go up for homes in England, Scotland and Wales despite wholesale prices falling.

It comes as Chancellor Rachel Reeves faces filling a financial black hole of up to £50 billion at the Budget this autumn.

Families are also braced for food inflation to hit 5.5 per cent by the end of the year hurting Brits in the pocket.

Energy standing charges - which consumers pay to have energy supplied to their homes per day - will rise by 4 per cent for electricity and 14 per cent for gas.

This has mainly been driven by the government expanding the Warm Home Discount which benefits around 2.7 million low-income families.

Shadow Energy Secretary Claire Coutinho said: “Labour promised to cut bills by £300 but that couldn’t be further from the truth.

“Standing charges are up by up to 14%, and balancing costs have risen meaning our energy bills are going UP even while wholesale prices are FALLING.

“These aren’t global markets, these are Ed Miliband’s political choices.”

Reform UK deputy leader Richard Tice said: “Energy prices to rise again, by 2% ahead of winter. They are 12% higher than July 24.

“Labour promised bills would come down - they lied. More renewables = higher bills.”

Regulator Ofgem also warned that unpredictable global events meant prices remained volatile and were likely to change.

Analysts Cornwall Insight have forecast a “small” decrease to the price cap from January.

Before the election, Labour said that households would save £300 on their bills. Energy Secretary Ed Miliband has said they will be cut by £300 on average by 2030.

Energy minister Michael Shanks said: “We know that any price rise is a concern for families.

“Wholesale gas prices remain 75% above their levels before Russia invaded Ukraine. That is the fossil fuel penalty being paid by families, businesses and our economy.