Latest news with #CraigLowery
The Guardian
23-05-2025
- Business
- The Guardian
Latest energy price cap expected to cut bills across Great Britain
Update: Date: 2025-05-23T05:28:34.000Z Title: Ofgem to set latest energy price cap for household bills Content: Good morning. British households may learn today that energy bills will fall this summer, for the first time in a year. Energy regulator Ofgem is poised to announce its latest price cap on bills in England, Scotland and Wales this morning, at 7am, and industry analysts predict it will be cut. The cap limits how much firms can charge customers for units of gas and electricity, and is set every quarter. This time, experts are forecasting the cap will be cut for the first time in a year, due to recent falls in the wholesale gas and oil prices. That would lower the energy bills of millions of households across Britain in July-September. Earlier this week, consultancy Cornwall Insight predicted the cap will be cut by 7% – that would slash around £129 off the annual bill for a typical dual-fuel household this summer, from £1,849 under the current limits. However, it's important to note that the cap applies to the cost of a unit of energy – there's no cap on how large a bill a family can run up. And as Dr Craig Lowery, a consultant at Cornwall, pointed out on Monday, energy bills were still too high for many. 'Prices are falling, but not by enough for the numerous households struggling under the weight of a cost of living crisis, and bills remain well above the levels seen at the start of the decade.' 'The fall is also a clear reminder of just how volatile the energy market remains – if prices can go down, they can bounce back up, especially with the unsettled global economic and political landscape we are experiencing. This is not the moment for complacency.' 7am BST: Ofgem to announce latest energy price cap 7am BST: Retail sales report for Great Britain in April 9.30am BST: Latest estimate for how many UK young people are not in education, employment or training 3pm BST: US new home sales data
Business Mayor
25-04-2025
- Business
- Business Mayor
Average energy bill in Great Britain set to fall 9% in July in relief for households
Energy bills are forecast fall by 9% from July – equivalent to £166 for the average household annual bill – after warm weather and trade tariff uncertainty triggered a decline in wholesale gas prices. The price cap on how much suppliers can charge for gas and electricity will fall to the equivalent of £1,683 a year for the typical household, according to the leading forecaster Cornwall Insight, down from the £1,849 a year level set in April. The energy regulator for Great Britain, Ofgem, sets a price cap on household energy bills every quarter by using a formula that tracks wholesale energy prices, as well as providers' network costs. The cap reflects the average annual dual-fuel bill for about 29m households and will take effect from July until the end of September. Wholesale energy prices have fallen in recent weeks, driven by US trade tariffs and the impact of above average temperatures, which has reduced demand expectations and taken some pressure off prices in the short term, Cornwall Insight found. Analysts at the consultancy now expect there to be a 'very slight fall' in the price cap in October, followed by another decline in January 2026. However, Dr Craig Lowery, of the consultancy, warned that bills could still rise again. 'We have all seen markets go up as fast as they go down, and the very fact the market dropped so quickly shows how vulnerable it to geopolitical and market shifts,' he said. 'There is unfortunately no guarantee that any fall in prices will be sustained, and there is always the risk of the market rebounding,' he added. skip past newsletter promotion Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy. We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion 'The only real way to protect households from this constant cycle of instability and insecurity is to reduce our dependence on international wholesale markets. That means continuing to focus on growing low-carbon energy generation here in Great Britain and building a more secure, more sustainable energy future.'
