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It means hard-pressed families may see fuel bills spiral to more than their monthly mortgage payments.

The warning from energy consultancy Auxilion came as regulator Ofgem is poised to raise the energy price cap to around £3,600 today. It is feared the move, combined with rampant inflation, could plunge millions into fuel poverty this winter.

Ofgem previously updated the cap just twice a year but is now doing it quarterly to respond to the demands of a raging market.

The figure it announces today will come into effect on October 1.

Auxilion’s latest forecast suggests prices will surge again in the new year, costing households £569 a month.

In comparison, the average bill last October was £1,400 a year. Charities and campaigners are demanding more financial support from the

Tory leadership favourite Liz Truss yesterday pledged to ease the burden of mounting prices if she becomes PM.

She gave her support to fracking and exploiting North Sea gas reserves and backed homegrown nuclear power over paying for supplies from France or China.

But Ms Truss warned at a hustings event in Norwich: “If people think this problem is going to be over in six months they are not right.This is a long-term problem.”

She said tax cuts and boosting energy supply were the key to addressing the cost of-living crunch.And as she visited the home of iconic English mustard brand Colman’s, she added: “I understand the problem.”

“I will work to deal with supply issues and to make sure people are able to keep more money in their own pockets.”

And on nuclear power options, she said: “We need to boost our nuclear industry including Sizewell [and] including the small modular reactors produced in Derbyshire.”

Chancellor Nadhim Zahawi also insisted “nothing is off the table” when it comes to action on soaring energy bills.

A Treasury source pointed to the financial assistance already on the way, referencing “£400 off energy bills, the second instalment of a £650 payment for vulnerable households and £300 for pensioners”.

But trade body UK Finance flagged up the pressures for homeowners.

Those with fixed-rate mortgages pay £741 a month on average.

That means they could see just a £172 difference in the cost of paying their mortgage and heating their home if energy prices reach £7,000 a year. For those with a standard variable rate (SVR) mortgage, the figures are even starker.

UK Finance data says the average SVR monthly repayment, which borrowers can be transferred to once fixed or tracker mortgage deals come to an end, amounts to £516.

That means some households could end up paying £53 more on utility bills than on the mortgage as energy prices overtake the cost of owning a home.

Meanwhile, people tied to a tracker mortgage, which directly tracks the Bank of England’s base rate, will see around £50 added to typical costs.

Renters are also facing drastic mounting costs. The average monthly fee for a newlylet property in the UK reached £1,166 in July, or £2,008 for Greater London, say estate agents Hamptons.

So the combined effect of higher mortgage payments or rent in combination with surging bills could turn the financial screw.

As a result several high street banks have set aside hundreds of millions of pounds to prepare for more customers defaulting on repayments.

Lloyds Banking Group said it had put aside £377 million to cover loan losses, while Barclays put by £341million in July as the economic outlook worsened.

Charities warn many could face choosing between “eating or heating” during the winter months.

Citizens Advice said a quarter of people will not be able to afford to pay energy bills in October based on current forecasts. And that this could jump to a third in January when prices soar higher.

Chief executive Dame Clare Moriarty said: “It’s becoming increasingly clear skyrocketing prices will swallow up all of the help that has been announced so far.”

Disability charity Scope said those it represents will be harder hit when October’s energy price rise bites. Policy manager Tom Marsland said: “Scope has been inundated with calls from disabled people who have been forced to make dire cutbacks on personal care, hygiene, food and energy. This is having a devastating impact and the support from Government just won’t touch the side.”

Andy Mayer of the Institute of Economic Affairs warned: “There is worse to come.Tax cuts and removing VAT from electricity bills could provide relief while temporary, targeted welfare increases would support the most vulnerable.”

Meanwhile, energy giant British Gas is pledging to donate 10 per cent of profits to help those struggling. Help will be provided through its energy support fund which gives grants to those most in need.Thousands will get an average £750 per household, say the firm.

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