British Households Face Higher Energy Bills Despite Lower Price Cap
- Ofgem price cap set at £3,280 from April for typical customer
- Households still face higher costs as subsidy level rises
A house at dawn in Greater Manchester, UK.
Photographer: Anthony Devlin/BloombergThis article is for subscribers only.
British households are set to face higher energy bills from April even as the regulator’s price cap falls by 23%.
Ofgem’s price cap, which represents how much a typical household would pay per year without any subsidy, will drop to £3,280 ($3,921) in the second quarter. Yet the government’s plan to raise its energy price guarantee — which limits bills — means consumers will pay more per unit of energy through July than ever before.