Energy companies will be writing to their customers within days to warn them of bill increases from early April.
According to Citizens Advice, companies must inform their customers appropriately about price increases or changes that put them at a disadvantage.
From April, typical household energy bills will rise to £3,000 a year.
The BBC understands the government is reviewing levels of energy support as activists call for help to stave off rising bills.
It comes after Energy Secretary Grant Shapps said he was sympathetic to the idea that the government should halt the rise in annual energy bills.
From the beginning of April, state subsidies as part of the energy price guarantee are to be less generous.
At the moment typical bills are capped at £2,500 plus a £400 winter discount which also ends from April.
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Nearly two million more households could struggle to pay the higher bills, fuel poverty activists said.
Industry group Energy UK said firms would be writing to customers to let them know how much their bills would rise over the next few days.
Energy companies are waiting for the government to confirm the level of support households will receive before sending out the letters, and that is expected to happen within days.
Customers who are having trouble paying their bills should contact their provider. According to a spokesman for Energy UK, there are a range of financial and other support options available to businesses.
People under pressure can talk about changing their repayment schedules, he said.
“However, more customers than ever before need more support and at a time when people are struggling to pay all their bills, the energy industry’s options are limited,” he added.
Jeremy Hunt told me two weeks ago that all aid is “under review”. The Treasury Department is now privately referring to this interview.
It looks a lot like additional support, but as the Chancellor also told me, he doubts he has the space for a major new initiative. However, postponing this reduction in energy subsidies by a few months to the point where it is no longer relevant would not be a new initiative.
Some utilities have already launched a spate of emails warning of the surge, largely attributing the rise to government decisions. For example, British Gas wrote to customers: “Due to the changes the Government is making to the Energy Price Guarantee, the amount you pay for your energy will change this April.”
Activists also speak of the “government’s energy price increase” and are calling for the increase in the energy price guarantee to be postponed from April to the summer.
Due to the fall in wholesale energy prices, this will offset the rise, cause inflation to fall more quickly and help limit the UK economic downturn. But it will definitely cost a few billion and could leave the Treasury exposed to tens of billions more if there is an unexpected rebound in global gas prices.
Fuel poverty activists said the number of households that would struggle to pay for energy from early April would rise to 8.4 million from 6.7 million.
The number of people unable to adequately heat their homes — which stands at 3.2 million — would also rise, National Energy Action said.
The charity is calling for more targeted support so those struggling the most get the most help.
Without further government support, the number of people who have to choose between heating and eating will continue to rise, a spokeswoman said.
Vulnerable people, like those with health conditions who need to expend more energy, are already disconnecting on their own, she added.
Energy Secretary Shapps said he was “very sympathetic” to expanding government support and is in talks with Chancellor Jeremy Hunt on the matter.
The Institute for Fiscal Studies (IFS) said improving economic prospects and falling wholesale energy prices mean the UK will borrow tens of billions of pounds less than expected this year.
This means the government has leeway to extend the energy price guarantee by a further three months to cushion the transition to higher bills, its director Paul Johnson told the BBC’s Today programme.
Other organizations, including the Resolution Foundation, have said the government is likely to extend support for energy bills.
Energy UK has urged the Government to keep the level of support for an average household at £2,500 “and to announce this quickly so that it can be included in customer bills in time for April”.
The Treasury declined to comment, including whether there would be an announcement on further energy bill support in the upcoming budget.
The BBC understands its current position is that falling wholesale energy prices will eventually feed through to bills and that the government will receive less tax revenue as prices fall.
However, the level of energy support is under review, according to the BBC.
In a speech on Wednesday, Mr Shapps said businesses should pass on falling wholesale costs to consumers as soon as possible and the UK should focus on “ever-growing” independent and cheaper energy.
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