The head of Ofgem says bills are likely to be higher this winter than previously predicted.
This winter's increase in energy bills will be even sharper than predicted, according to the head of the regulator Ofgem.
The lower estimate was used by ministers when deciding how much financial support to offer households.In May, Ofgem chief executive Jonathan Brearley said a typical household would pay £2,800 a year - an increase of £800 - from October. October is when the energy price cap - the maximum price set by Ofgem which suppliers can charge customers in England, Scotland and Wales - is next up for review.it is "clear" that "prices are looking higher than they did when we made that estimate".But one industry analyst has predicted a rise of more than £1,200 a year in October. Cornwall Insight said that
the typical domestic customer was likely to pay £3,244 a year from October, then £3,363 a year from JanuaryIn a more recent forecast, another analyst, management consultancy BFY, predicted a typical energy bill could hit £3,850 a year by January. The typical bill at present is about £2,000 a year, after the last price cap increase in April 2022. This is already £600 more than the average bill was in October 2021.The energy price cap is designed to protect consumers from short-term changes in prices. It is adjusted every six months .This has risen sharply because demand for gas increased as the Covid pandemic eased, and because
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Cost of living: Energy price cap expected to double in January, experts warnHouseholds are set to see energy bills of £500 for the month of January alone, according to analysts.
Read more »
Government £400 energy rebate simplified to offer more guidanceThey are set to apply a £400 rebate to all domestic energy bills
Read more »
Energy bills could soar to staggering £4k next year as experts warn of power cutsEnergy bills could hit almost £4,000 next year as Russia continues to squeeze European gas supplies
Read more »
Cost-of-living payments branded insufficient as energy bills soarA committee of MPs says cost-of-living payments should reflect higher than anticipated energy bills.
Read more »
US warns of surge in fuel costs in fresh push for Russian oil price cap\n\t\t\tExpert insights, analysis and smart data help you cut through the noise to spot trends,\n\t\t\trisks and opportunities.\n\t\t\n\t\tJoin over 300,000 Finance professionals who already subscribe to the FT.
Read more »