A COST of living crisis is gripping the nation.

Fears have been expressed inflation could hit 18 per cent next year... figures which have not been seen for decades.

A national charity has identified a total of 15 crisis hotspots in Colchester which will be particularly badly affected.

The Office of Gas and Electricity Market (Ofgem) had introduced what is known as the energy price cap in 2019, designed to prevent households from overpaying on basic utility bills.

But as the cap is changeable every three months, millions now fear that both the regularity and the size of the increases will leave them unable to pay for basics like gas, water and electricity.

Research conducted by the Friends of the Earth charity has found 15 out of 105 neighbourhoods across Colchester will be hit especially hard when the cap next rises in October.

Houses in Colchester’s crisis hotspots, which are paying an average of £2,079 per month on bills currently, could be hit with a monthly bill of £3,017 when the new price cap is put in place.

Ofgem is due to announce the extent of the price rise on Friday.

Across Britain, the average household which had been paying £1,400 each month in October last year will be faced with bills of up to £3,600 per month when the new cap comes into place.

If the cap rises again in January, as is expected, some households could be paying as much as £4,300 each month.

Data also showed that 4,000 homes across Colchester were either in need of cavity wall installation or loft insulation to prevent the loss of heat during winter months.

Paula Goddard, the manager for Colchester Christian’s Against Poverty debt centre, told the Gazette the charity was already organising advice days and workshops for those who are fearing a serious struggle over the winter.

She said: “Realistically, living shouldn’t cost everything, but for millions, it’s going to.

“We need to be making sure people are keeping an eye on their usage and using smart meters to their benefit.

“We are putting into place three life skills groups, which are eight-week courses helping people manage their budget and understand their utility meters.”

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One will take place on Monday, September 12, at St Cedd’s Church in Shrub End, Colchester, starting at 11.45am.

Another course will start in Monkwick on Monday, September 26, at Orchard Baptist Church in Monkwick.

Further details are currently being arranged for a third eight-week course which will take place at the C3 Church in Abbeyfield.

Mrs Goddard added: “We are doing all we can to get things in place for people to come and plan more.

“With regard to coping over the next few months, the best thing is to keep speaking to your utility provider – don’t ignore what’s happening, and ensure to read any information they are putting out.

“Arranging for your gas and electricity to come from the same provider [is also useful], because you often get discounts for being a dual fuel customer.”

Colchester CAP Centre has also had to increase its capacity this year in readiness for an influx of people needing support and advice.

“Over the last year, we have increased our capacity and taken in an extra debt coach, and we have increased the amount of life skills courses we offer as well.

“It’s so, so difficult to be prepared because it’s going to affect so many people so differently – we have been campaigning and writing to Will Quince and other MPs to get them to lobby in parliament for us.”

Colchester’s main charities do not exist in a vacuum, however, and Mrs Goddard had praise for how different organisations throughout Colchester link up to assist one another.

“We are really fortunate in Colchester – a lot of charities have come together and work together.

“For example, we work really closely with Colchester Foodbank and Community Impact at the C3 Church.

“Everyone is trying to pull in together to give the best safety net underneath the government safety net, which seems to have a lot of holes in it.”

It’s not only debt charities which are likely to be called on over the winter, though, Mrs Goddard explained; support is going to be needed for a range of issues caused by rampant cost of living pressures.

“The government needs to consider that the cost of living crisis will go beyond finances – we are going to get people isolating themselves and we are going to see emotional crises as well.

“Beyond that, we need the mental health charities to be able to cope as well – charities like ours are the tip of the iceberg.”