Latest news with #MattTurner-Tait
South Wales Argus
23-05-2025
- Business
- South Wales Argus
Ofgem Energy Price Cap: Energy bills to fall in July 2025
The decrease means that a typical household in England, Scotland and Wales will now pay £1,720 on average for energy, down from £1,849under the current price cap. Energy regulator Ofgem changes the price cap for households every three months, largely based on the cost of energy on wholesale markets. It's worth noting that the cap does not set the maximum a household will pay for their energy but limits the amount providers can charge them per unit of gas or electricity, so those who use more energy will always pay more. While a saving is welcome news, average energy bills continue to be 10% higher (almost £150) than this time last year, and 65% (almost £700) above winter 2020/21 levels and a third higher (around £450) than pre-Ukraine invasion. Simon Francis, coordinator of the End Fuel Poverty Coalition, says: 'The Government's u-turn on the Winter Fuel Payment is a clear sign it knows people are struggling with energy bills – but sticking-plaster solutions won't keep people warm next winter or the one after that. 'While bills may fall slightly in July, they're still significantly higher than before the energy crisis and remain tied to the unpredictable cost of fossil fuels. Without urgent reform and real investment, millions will continue to face unaffordable bills and cold homes. 'The Warm Homes Plan offers a long-term fix: lower bills, warmer homes, and greater energy security. But this essential plan is now under threat. If Ministers walk away from it, they are effectively condemning households to years more of hardship. 'Short-term relief must not be used as an excuse for long-term neglect. The Government must fully fund the Warm Homes Plan and deliver the reforms needed to bring down bills for good.' Before the announcement, consultancy BFY Group predicted that the cap would fall by approximately £1,715 – a £134 decrease from the current April cap. Matt Turner-Tait, Senior Manager at BFY Group, says: 'This shows a decrease of about £134 from the current level of £1,849, set in April. "This reflects recent declines in wholesale gas and electricity prices and will provide some short-term relief for households on standard variable tariffs. While energy prices typically dip in summer due to reduced demand, market signals indicate that prices could stay at current levels through the winter as well, challenging expectations of the usual seasonal rebound. "Adjustments to the amount suppliers are allowed to recover for operating costs could reduce bills by up to £15 per year, but these savings could be offset by the rising bad debt among suppliers and other pressures, such as volatile wholesale markets, the rising costs of decarbonisation, inflation-driven operational expenses and regulatory compliance. More energy customers have been switching to fixed tariffs, which are always cheaper than the Price Cap, and are currently significantly so - by around £250 to £300 for a typical customer. Matt says: "While the gap between fixed deals and the capped rate may narrow as the Price Cap falls, fixed tariffs are still expected to offer savings in the near term."
North Wales Chronicle
23-05-2025
- Business
- North Wales Chronicle
Ofgem Energy Price Cap: Energy bills to fall in July 2025
The decrease means that a typical household in England, Scotland and Wales will now pay £1,720 on average for energy, down from £1,849under the current price cap. Energy regulator Ofgem changes the price cap for households every three months, largely based on the cost of energy on wholesale markets. It's worth noting that the cap does not set the maximum a household will pay for their energy but limits the amount providers can charge them per unit of gas or electricity, so those who use more energy will always pay more. While a saving is welcome news, average energy bills continue to be 10% higher (almost £150) than this time last year, and 65% (almost £700) above winter 2020/21 levels and a third higher (around £450) than pre-Ukraine invasion. Simon Francis, coordinator of the End Fuel Poverty Coalition, says: 'The Government's u-turn on the Winter Fuel Payment is a clear sign it knows people are struggling with energy bills – but sticking-plaster solutions won't keep people warm next winter or the one after that. 'While bills may fall slightly in July, they're still significantly higher than before the energy crisis and remain tied to the unpredictable cost of fossil fuels. Without urgent reform and real investment, millions will continue to face unaffordable bills and cold homes. 'The Warm Homes Plan offers a long-term fix: lower bills, warmer homes, and greater energy security. But this essential plan is now under threat. If Ministers walk away from it, they are effectively condemning households to years more of hardship. 'Short-term relief must not be used as an excuse for long-term neglect. The Government must fully fund the Warm Homes Plan and deliver the reforms needed to bring down bills for good.' Before the announcement, consultancy BFY Group predicted that the cap would fall by approximately £1,715 – a £134 decrease from the current April cap. Matt Turner-Tait, Senior Manager at BFY Group, says: 'This shows a decrease of about £134 from the current level of £1,849, set in April. "This reflects recent declines in wholesale gas and electricity prices and will provide some short-term relief for households on standard variable tariffs. While energy prices typically dip in summer due to reduced demand, market signals indicate that prices could stay at current levels through the winter as well, challenging expectations of the usual seasonal rebound. "Adjustments to the amount suppliers are allowed to recover for operating costs could reduce bills by up to £15 per year, but these savings could be offset by the rising bad debt among suppliers and other pressures, such as volatile wholesale markets, the rising costs of decarbonisation, inflation-driven operational expenses and regulatory compliance. More energy customers have been switching to fixed tariffs, which are always cheaper than the Price Cap, and are currently significantly so - by around £250 to £300 for a typical customer. Matt says: "While the gap between fixed deals and the capped rate may narrow as the Price Cap falls, fixed tariffs are still expected to offer savings in the near term."
Glasgow Times
23-05-2025
- Business
- Glasgow Times
Ofgem Energy Price Cap: Energy bills to fall in July 2025
The decrease means that a typical household in England, Scotland and Wales will now pay £1,720 on average for energy, down from £1,849under the current price cap. Energy regulator Ofgem changes the price cap for households every three months, largely based on the cost of energy on wholesale markets. It's worth noting that the cap does not set the maximum a household will pay for their energy but limits the amount providers can charge them per unit of gas or electricity, so those who use more energy will always pay more. While a saving is welcome news, average energy bills continue to be 10% higher (almost £150) than this time last year, and 65% (almost £700) above winter 2020/21 levels and a third higher (around £450) than pre-Ukraine invasion. Simon Francis, coordinator of the End Fuel Poverty Coalition, says: 'The Government's u-turn on the Winter Fuel Payment is a clear sign it knows people are struggling with energy bills – but sticking-plaster solutions won't keep people warm next winter or the one after that. 'While bills may fall slightly in July, they're still significantly higher than before the energy crisis and remain tied to the unpredictable cost of fossil fuels. Without urgent reform and real investment, millions will continue to face unaffordable bills and cold homes. 'The Warm Homes Plan offers a long-term fix: lower bills, warmer homes, and greater energy security. But this essential plan is now under threat. If Ministers walk away from it, they are effectively condemning households to years more of hardship. 'Short-term relief must not be used as an excuse for long-term neglect. The Government must fully fund the Warm Homes Plan and deliver the reforms needed to bring down bills for good.' Before the announcement, consultancy BFY Group predicted that the cap would fall by approximately £1,715 – a £134 decrease from the current April cap. Matt Turner-Tait, Senior Manager at BFY Group, says: 'This shows a decrease of about £134 from the current level of £1,849, set in April. "This reflects recent declines in wholesale gas and electricity prices and will provide some short-term relief for households on standard variable tariffs. While energy prices typically dip in summer due to reduced demand, market signals indicate that prices could stay at current levels through the winter as well, challenging expectations of the usual seasonal rebound. "Adjustments to the amount suppliers are allowed to recover for operating costs could reduce bills by up to £15 per year, but these savings could be offset by the rising bad debt among suppliers and other pressures, such as volatile wholesale markets, the rising costs of decarbonisation, inflation-driven operational expenses and regulatory compliance. More energy customers have been switching to fixed tariffs, which are always cheaper than the Price Cap, and are currently significantly so - by around £250 to £300 for a typical customer. Matt says: "While the gap between fixed deals and the capped rate may narrow as the Price Cap falls, fixed tariffs are still expected to offer savings in the near term."
Rhyl Journal
23-05-2025
- Business
- Rhyl Journal
Ofgem Energy Price Cap: Energy bills to fall in July 2025
The decrease means that a typical household in England, Scotland and Wales will now pay £1,720 on average for energy, down from £1,849under the current price cap. Energy regulator Ofgem changes the price cap for households every three months, largely based on the cost of energy on wholesale markets. It's worth noting that the cap does not set the maximum a household will pay for their energy but limits the amount providers can charge them per unit of gas or electricity, so those who use more energy will always pay more. While a saving is welcome news, average energy bills continue to be 10% higher (almost £150) than this time last year, and 65% (almost £700) above winter 2020/21 levels and a third higher (around £450) than pre-Ukraine invasion. Simon Francis, coordinator of the End Fuel Poverty Coalition, says: 'The Government's u-turn on the Winter Fuel Payment is a clear sign it knows people are struggling with energy bills – but sticking-plaster solutions won't keep people warm next winter or the one after that. 'While bills may fall slightly in July, they're still significantly higher than before the energy crisis and remain tied to the unpredictable cost of fossil fuels. Without urgent reform and real investment, millions will continue to face unaffordable bills and cold homes. 'The Warm Homes Plan offers a long-term fix: lower bills, warmer homes, and greater energy security. But this essential plan is now under threat. If Ministers walk away from it, they are effectively condemning households to years more of hardship. 'Short-term relief must not be used as an excuse for long-term neglect. The Government must fully fund the Warm Homes Plan and deliver the reforms needed to bring down bills for good.' Before the announcement, consultancy BFY Group predicted that the cap would fall by approximately £1,715 – a £134 decrease from the current April cap. Matt Turner-Tait, Senior Manager at BFY Group, says: 'This shows a decrease of about £134 from the current level of £1,849, set in April. "This reflects recent declines in wholesale gas and electricity prices and will provide some short-term relief for households on standard variable tariffs. While energy prices typically dip in summer due to reduced demand, market signals indicate that prices could stay at current levels through the winter as well, challenging expectations of the usual seasonal rebound. "Adjustments to the amount suppliers are allowed to recover for operating costs could reduce bills by up to £15 per year, but these savings could be offset by the rising bad debt among suppliers and other pressures, such as volatile wholesale markets, the rising costs of decarbonisation, inflation-driven operational expenses and regulatory compliance. More energy customers have been switching to fixed tariffs, which are always cheaper than the Price Cap, and are currently significantly so - by around £250 to £300 for a typical customer. Matt says: "While the gap between fixed deals and the capped rate may narrow as the Price Cap falls, fixed tariffs are still expected to offer savings in the near term."
South Wales Argus
17-05-2025
- Business
- South Wales Argus
Energy Price Cap 7 per cent drop predicted for July 2025
But, despite the decrease, affordability remains a concern - typical annual energy bills are still expected to be around £1,680 — around 50% higher than pre-crisis levels. More customers are switching to fixed energy tariffs, which are currently often cheaper than the Price Cap rate. Matt Turner-Tait, Senior Manager at energy experts BFY Group, says: 'We are forecasting that the July 2025 energy Price Cap will fall by around 7%, bringing it down to approximately £1,715. This would put typical annual energy bills at around £1,680 - a reduction, but still significantly above pre-crisis levels." This is a fall of about £134 from the current level of £1,849, set in April, and reflects recent declines in wholesale gas and electricity prices. It may provide some short-term relief for households on standard variable tariffs. While energy prices typically dip in summer due to reduced demand, market signals indicate that prices could stay at current levels through the winter as well, challenging expectations of the usual seasonal rebound. Recommended reading: "Adjustments to the amount suppliers are allowed to recover for operating costs could reduce bills by up to £15 per year," says Matt. "But these savings could be offset by the rising bad debt among suppliers and other pressures, such as volatile wholesale markets, the rising costs of decarbonisation, inflation-driven operational expenses and regulatory compliance. "More energy customers have been switching to fixed tariffs, which are always cheaper than the Price Cap, and are currently significantly so - by around £250 to £300 for a typical customer. "While the gap between fixed deals and the capped rate may narrow as the Price Cap falls, fixed tariffs are still expected to offer savings in the near term."
