Energy price cap update on zonal energy regional pricing
While this isn't new - the Energy Price Cap already has regional pricing for certain areas - Google searches for 'zonal energy pricing' have skyrocketed.
Here's all you need to know about what a zonal energy pricing system could look like and how it could be implemented.
So, what is zonal energy pricing, and who would be its winners and losers?
Les Roberts, energy expert from Bionic, explains: 'Regional energy pricing, or zonal energy pricing, is set to be one of the biggest changes to the UK electricity market in over 35 years.
'The system, if approved by the government, is set to transform the UK's energy market, aiming to make the system more efficient by creating regional energy markets."
What's going to happen to the energy Price Cap & is it worth getting a fix. Here are the latest predictions compared to the cheapest fix. The DOWN 8-9% July prediction is pretty solid, after that it's a bit crystal ball gazing.
To find ur cheapest fix use https://t.co/4ikTwuGFTQ pic.twitter.com/RGtmuNupmz — Martin Lewis (@MartinSLewis) April 30, 2025
What are regional energy markets?
Regional energy markets are based on the cost of generating and transmitting electricity in each zone, rather than a blanket cost for the whole nation.
'In areas where renewable energy sources are in abundance already, such as Scotland, prices are set to fall by up to 8% in the proposed scheme," says Les.
"However, in areas such as London and the South, where demand for electricity and energy is high and electricity often needs to be transmitted over long distances, prices are predicted to rise by 2.4% under regional energy pricing.'
(Image: Bionic)
Analysing the proposed zonal energy scheme, based on monthly utility bills for UK cities (electricity, heating, cooling, water, garbage) for 85m2 Apartment with percentages and proposed regional zones based on research provided by LPC Delta, Bionic has predicted which UK cities will benefit the most and the least from the regional energy pricing scheme.
Birmingham would benefit most from the regional price increase, despite the new scheme proposing a predicted 2.4% increase in energy costs.
London is set to rank 5th under the regional pricing scheme, with bills predicted to increase by 2.4%, taking the average monthly bill cost to £238.77.
Surprisingly, Aberdeen is still set to have some of the highest utility bills in the UK, despite the proposed zonal energy scheme set to reduce costs by 8%.
Les says: 'If implemented, regional energy markets are set to transform the UK's energy market, changing not just how much people pay, but also how and where new energy infrastructure is developed. The scheme is set to incentivise regional investment in clean energy projects and has the potential to accelerate the UK towards its 2050 net-zero target.'
Recommended reading:
What is the energy price cap and when does it change?
The term is quite confusing, and it's important to note it's not the maximum price you will pay - it's an average. If you use more, you will pay more.
The cap was introduced on 1 January 2019 by regulator Ofgem, with the aim of preventing the millions of households on expensive variable tariffs from being ripped off.
The next change is due to be announced later this month and come into force on July 1.
But it only limits what you pay for each unit of gas and electricity that you use.
It's based roughly on wholesale energy prices (those that firms pay) and applies only to providers' standard and default tariffs, which the vast majority of households are now on.
The energy price cap is the maximum amount energy suppliers can charge you for each unit of energy and standing charge if you're on a standard variable tariff.
The energy price cap also sets a maximum daily standing charge.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Scottish Sun
5 hours ago
- Scottish Sun
High street retailer to issue refunds for USED tents that are returned this summer – and it's perfect for festivals
Do you have a retail story? We'd love to hear from you please email: money@ CAMP OUT High street retailer to issue refunds for USED tents that are returned this summer – and it's perfect for festivals A HIGH street retailer will issue a refund for any used tent it sells over the summer, in a boost for campers and festival goers. Decathlon has pledged to offer a full gift card refund for the return of every tent it sells to encourage people not to abandon them. 1 Decathlon will give a full refund to customers who return their tents this summer Credit: Google Customers must purchase a tent online or in store between June 9 and September 14 to qualify. Shoppers need to return it with proof of purchase before September 14, to receive the full purchase value back in the form of a Decathlon gift card. The retailer said this is regardless of how much they used the camping tool. Customers must also be a Decathlon member at the time of purchase, which is free to sign up for. The scheme started in 2023, but this year has been upgraded to include every Decathlon brand tent across both its Quechua and Simond ranges. A Quechua four man tent can cost £199 at the retailer. Tonnes of waste and tents are abandoned at festivals every year, which can put huge strain on the environment and those required to clean up the mess. A typical single-use tent contains as much plastic as 9,000 straws or 200 bottles. Decathlon UK sustainability leader Chris Allen said: 'By making it easy and rewarding to bring tents back, we're not only reducing waste across all camping activities, but also creating a vital supply chain for our Second Life programme, making quality outdoor gear accessible to even more people. 'This is about driving systemic change and changing camping culture for the better.' Waterpark to have Wave Festival this summer Broadcaster Vick Hope, who is supporting this year's campaign, added: 'Whether you're dancing at Glasto, on a hilltop, or roasting marshmallows with family, your tent deserves more than one weekend of glory. 'Decathlon's pledge is brilliant because it simplifies doing the right thing.' End-of-life tents from previous seasons have been repurposed and transformed into oversized flags bearing the message 'I'm not leaving my tent behind, you shouldn't either'. BECOMMING A DECATHLON MEMBER If you want to receive a voucher for returning a tent you will need to sign up for Decathlon's membership scheme. This is free to do and can be done online. Customers earn points when they spend in store, which can be then used as money off vouchers. Shoppers also get personalised offers which are tailored to their interests. You can find out more by visiting,
South Wales Argus
16 hours ago
- South Wales Argus
Sir Keir Starmer vows to overcome sceptical public on ‘harnessing power' of AI
The Prime Minister said AI would cut through planning red tape to speed up housebuilding and promised £1 billion of funding to increase the UK's compute power. Sir Keir acknowledged people's concern about the rapid rise of AI technology and the risk to their jobs but stressed the benefits it would have on the delivery of public services, automating bureaucracy and allowing staff such as social workers and nurses to be 'more human'. In a speech at London Tech Week, Sir Keir said: 'Some people out there are sceptical. 'They do worry about AI taking their job.' Even businesses were worried about the 'relentless' pace of change, he said as he stressed the need for the Government and the tech sector to work in partnership. 'When it comes to harnessing the power of this technology, I believe that the way we work through this together is critical and that means a partnership,' he said. Prime Minister Sir Keir Starmer speaking at the London Tech Week conference at London's Olympia, where he announced the TechFirst programme (Carl Court/PA) The Prime Minister told the audience of business chiefs and tech experts: 'We are leaning into this. 'We are excited about the opportunity that this could have, will have on the lives of millions of people and making their lives better.' He said the Government was 'committing an extra £1 billion of funding to scale up our compute power by a factor of 20'. That would mean that 'in this global race, we can be an AI maker and not an AI taker'. It will also help support the transformation of public services, he said, pointing to the new work on planning. The Prime Minister announced the launch of Extract, an AI assistant for planning officers and local councils, developed by government with support from Google. It will help councils convert decades-old, handwritten planning documents and maps into data in minutes, and will power new types of software to slash the 250,000 estimated hours spent by planning officers each year manually checking the paperwork. Sir Keir said: 'For too long, our outdated planning system has held back our country, slowing down the development of vital infrastructure and making it harder to get the homes we need built.' One million students will be given access to learning resources to start equipping them for 'the tech careers of the future' as part of the Government's £187 million TechFirst scheme, Downing Street said. Sir Keir said: 'I think that training young people earlier on in AI and tech means that they will obviously be better skilled as they come into work but also they will be much better at it than us. 'I've got a 16-year-old boy and a 14-year-old girl and they already understand AI and tech in a way which is really difficult to have even conceived of a decade ago.' General view of the Radcliffe Camera, part of Oxford University (Andrew Matthews/PA) Meanwhile, staff at firms across the country will be trained to 'use and interact' with chatbots and large language models as part of a plan backed by Google and Microsoft to train 7.5 million workers in AI skills by 2030. Jensen Huang, chief executive of tech giant Nvidia said the UK was in a 'goldilocks' zone because of its combination of academic expertise and finance, but had been held back by a lack of infrastructure for AI. Sharing a platform with the Prime Minister, he said: 'The UK has one of the richest AI communities anywhere on the planet: the deepest thinkers, the best universities, Oxford, Cambridge, Imperial College, amazing start-ups.' It was behind only the US and China in venture capital investment, he added. 'The ecosystem is really perfect for take-off, it's just missing one thing: it is surprising, this is the largest AI ecosystem in the world without its own infrastructure.' That was why the Prime Minister's £1 billion pledge on compute power was 'such a big deal', he said.
Daily Mirror
16 hours ago
- Daily Mirror
Amazon sale axes Google Pixel Pro that's ‘much better than iPhone' by £300
Shoppers can currently save a whopping £300 on a Google Pixel Pro smartphone that shoppers have touted as 'much better than iPhone' as it gets its price axed in an Amazon flash sale If you've been looking for an excuse to pick up a new smartphone without having to splash out for its full price, look no further than this Amazon sale. A Google Pixel 9 Pro is up for grabs with a massive discount, saving shoppers £300 while this deal lasts. The Google device has become a serious contender in the Android mobile market, and this deal makes it even more irresistible. The Pixel 9 Pro is touted as the most powerful Pixel yet. It is armed with Gemini's built-in AI assistant and has a pro-level rear camera that gives you super-close close-ups, sharp selfies, and rich colours—even in low light. The Google Pixel 9 Pro is available in four colourways and has three storage options: 128GB, 256GB, and 512GB. All three options are currently sporting a major £300 discount, though prices will vary depending on the storage size you opt for. Armed with a game-changing Google Tensor G4 chip and a Snapdragon CPU, this smartphone provides 16GB of RAM and promises up to 24 hours of battery life. With seven years of security updates and Pixel Drops, this Google smartphone is built to keep up with you all day long and promises longevity. Not to mention the revolutionary in-built AI, which helps get things done faster. Gemini makes complex projects easier, searches and organises info, and jumpstarts your creativity in just a few taps. Another feature of the Pixel 9 Pro that's supported by AI is the Add Me feature, which ensures no one is left out of a photo—you can take a picture with the group, then swap in the photographer with ease, as Pixel seamlessly merges both photos. Plus, the Magic Editor can suggest the best crop and reframe your photo to ensure you get the best results to post online. It even expands your image to get more of the scene. Backed by Gemini, Pixel Screenshots helps you save info you want to remember later – like events, places, and appointments. So you can find what you need, right when you need it. Normally retailing for £999 (128GB), this Pixel 9 Pro is now up for grabs for the majorly reduced price of £699 while this Amazon sale lasts. This model is also available at Argos for the same cost, which is the lowest ever price it's sold for at that retailer. Currys and Very are also offering this Google Pixel model for £699. Amazon shoppers can't stop raving about this smartphone, with plenty of 5-star reviews pouring in. One saitisifed customer shares: "This phone is fantastic. Great photos and ways to adjust photos. Clear sound screen is Sharp. Highly recommend. This is the best phone I have owned. It is smaller than I use to but you lose nothing. Texting is smooth." Another buyer beams: " It's a Fantastic phone --- I can't fault it. I came from iPhones after the damp squib of iPhone 16. It's seamless for me-- feels very much like an iPhone but just much better and customisable. Camera is excellent, even the capacity to swipe back with your thumb is a revelation." A thrid raves: "The cameras are insanely good thanks to Google's AI Processing, they fixed the slow Tensor chipset performance issues, everything is snappy now you would think it has a Snapdragon if you didn't see the specs. Battery life is stellar, I can get 1 to 1.5 days easily with moderate usage and it looks perfect, people always think I have an iPhone 16 Pro when they see the phone which is a good thing as it has a flat screen and very easy to hold." And this buyer gushes: " Love this phone, but I am an avid Android junkie too! Fast processor that hasn't run hot for me yet. The camera is sublime. best I've had yet - but I did upgrade forma so-so Sony Xperia 1ii. The photo editing options are brilliant and very effective."
