Latest news with #NationalEnergyAction
TimesLIVE
23-05-2025
- Business
- TimesLIVE
Energy bills to fall for millions of Britons as price cap dips 7%
Millions of British households will see lower energy bills from July after regulator Ofgem said its domestic price cap would fall 7% to reflect lower wholesale energy prices. The reduction is welcome news for the government, under pressure to ease a cost-of-living squeeze, and comes after data earlier this week showed a bigger-than-expected rise in inflation in April. "Global wholesale prices for energy have gone down. While this is the main cause, changes to supplier business costs have also made an impact on energy prices falling," Ofgem said. Wholesale gas and power prices are a major part of the formula the regulator uses to calculate the price cap. Benchmark British gas prices have fallen almost 40% since their peak in February, dented by fears over an industrial slowdown and global trade war and after the EU parliament backed weaker gas storage rules. Despite the fall, domestic energy prices remain about 50% higher than they were in the summer of 2021, before Russia's invasion of Ukraine sent gas prices soaring and sparked an energy price crisis in Europe. Consumer groups warned energy costs remain unmanageable for many households and called for more support for those struggling. "Any fall in the price of energy is always welcome news, but this is a short fall from a great height. Bills remain punishingly high for low-income households," said Adam Scorer, CEO of energy poverty charity National Energy Action. British Prime Minister Keir Starmer on Wednesday said he recognised older people were feeling the pressure of energy prices and he wanted to ensure more pensioners become eligible for winter fuel payments, having curbed the number of people eligible last year. Ofgem's new cap of £1,720 (R41,552) a year for average use of electricity and gas is down £129 (R3,116) from the previous cap for April to June.
RTÉ News
23-05-2025
- Business
- RTÉ News
UK energy bills to fall as price cap dips by 7%
Millions of British households will see lower energy bills from July after regulator Ofgem said its domestic price cap would fall 7% to reflect lower wholesale energy prices. The reduction is welcome news for the UK government, under pressure to ease a cost-of-living squeeze, and comes after data earlier this week showed a bigger-than-expected rise in inflation in April. "Global wholesale prices for energy have gone down. While this is the main cause, changes to supplier business costs have also made an impact on energy prices falling," Ofgem said in a statement. Wholesale gas and power prices are a major part of the formula the regulator uses to calculate the price cap. Benchmark British gas prices have fallen almost 40% since their peak in February, dented by fears over an industrial slowdown and global trade war and after the EU parliament has backed weaker gas storage rules. Despite the fall, domestic energy prices remain around 50% higher than they were in the summer of 2021, before Russia's invasion of Ukraine sent gas prices soaring and sparked an energy price crisis in Europe. Consumer groups warned that energy costs remain unmanageable for many households and called for more support for those struggling. "Any fall in the price of energy is always welcome news, but this is a short fall from a great height. Bills remain punishingly high for low-income households," Adam Scorer, Chief Executive of energy poverty charity National Energy Action, said. British Prime Minister Keir Starmer said earlier this week he recognised that older people were still feeling the pressure of energy prices and he wanted to ensure that more pensioners become eligible for winter fuel payments, having curbed the number of people eligible last year.
Daily Mirror
23-05-2025
- Business
- Daily Mirror
Energy calculator - see how your bill will change as Ofgem confirms price cap
You can estimate how much your energy bill will drop from July after the changes from Ofgem were confirmed by using our calculator below Energy bills are set to fall from July as Ofgem announces its new energy price cap - and you can use our calculator to see how much less you will pay. The regulator changes the price cap every three months, with the latest one set to take effect on July 1 and continue through to September 30. The new cap means that the typical household will pay £1,720 annually for gas and electricity, for a standard dual-fuel direct debit plan. This represents an average fall of 7% per household compared to the cap for between April and June. It works £129 a year less for the typical bill. You can estimate how much your energy bill will drop from July by using our calculator. It also means that bills will be 28%, or £660 lower than at the height of the energy crisis in 2023. The impact of these changes will vary from household to household though, depending on how much fuel you use. The cap does not limit household total bills - the £11 monthly fall is based on typical usage - but rather the amounts charged per unit and the daily standing charge. Tim Jarvis, Director General of Markets at Ofgem, said: 'A fall in the price cap will be welcome news for consumers, and reflects a reduction in the international price of wholesale gas. However, we're acutely aware that prices remain high, and some continue to struggle with the cost of energy. 'The first thing I want to remind people is that you don't have to pay the price cap – there are better deals out there so it's important to shop around, and talk to your existing supplier about the best deal they can offer you. And changing your payment method to direct debit or smart pay as you go can save you up to £136. Get the best deals and tips from Mirror Money 'In the longer term, we need an energy system where prices are insulated from the volatile international gas market, and which ensures more stable prices and energy security. And we're working closely with government to get the investment we need to reach our clean power and net zero targets as quickly as possible. 'We're also doing everything we can to support consumers today and pushing ahead with more changes to help consumers. This includes working on ways to support those trapped in energy debt and bringing in reforms to standing charge tariffs for this winter.' The Chief Executive of National Energy Action - a fuel poverty charity - Adam Scorer says, 'Any fall in the price of energy is always welcome news, but this is a short fall from a great height. Bills remain punishingly high for low-income households. 'Four years of extraordinarily high energy bills has taken its toll. We hear heart-breaking cases every day. 'The likely expansion in eligibility for the Winter Fuel Payment will be a relief for some, but National Energy Action is calling for deeper energy bill support and a real focus to support households out of debt.'
Telegraph
23-05-2025
- Business
- Telegraph
Household energy bills to fall by £129 as price cap drops
Ofgem, the energy regulator, has set its price cap – the amount suppliers are allowed to charge their customers – at £1,720 per year, falling from its current cap of £1,849. It follows three consecutive increases in bills that have heaped pressure on consumers and driven the rate of inflation up. Ofgem changes its price cap every three months. Energy industry analysts at Cornwall Insight this week predicted that another 'modest drop' would follow in October, with another to come in January. The fall in household's bills comes after Donald Trump's trade war hammered gas and oil prices as uncertainty over tariffs weighed on prices. At the same time, Opec cartel members have been pushing through oil production increases, adding further downwards pressure. Adam Scorer, chief executive of National Energy Action, said despite the fall household bills still remained 'punishingly high'. He said: 'Four years of extraordinarily high energy bills has taken its toll. We hear heart-breaking cases every day.'
Scottish Sun
23-05-2025
- Business
- Scottish Sun
Energy bills to fall for millions of households this summer as price cap cut by £129 a year
Check to see if you can slash your energy bill today GOOD ENERGY Energy bills to fall for millions of households this summer as price cap cut by £129 a year ENERGY bills are set to drop this July, bringing much-needed relief to millions of households. The energy regulator Ofgem has confirmed the new price cap, which comes into effect on July 1, 2025. The average gas and electricity bill is set to drop from £1,849 to £1,720, saving the typical household £129 a year - around 7%. But bear in mind the exact amount you pay can be higher or lower depending on your usage, and the cap is reviewed every three months. This is significantly higher than the drop this time last year, when it decreased from £1,690 a year to £1,568. The savings will still provide relief to millions, as over 22million households on standard variable tariffs are directly affected by the price cap, which is updated every three months. Experts at Cornwall Insight had rightly predicted the energy price cap would drop to £1,720 in July. Currently, the price cap sets annual energy costs at around £1,849. However, many households may still pay more than Ofgem's headline figure. This is because the price cap doesn't cap total bills but limits the maximum cost per kilowatt-hour (kWh) of gas and electricity, along with daily standing charges. Ofgem's headline figure is based on the assumption that a typical household consumes 2,700 kWh of electricity and 11,500 kWh of gas annually. So if you use more than a typical households expect to pay more. What is the energy price cap? However, energy experts say that households could make significant savings by switching to a fixed-rate energy deal now. By choosing a fixed deal, customers can lock in consistent rates for a set period, potentially avoiding fluctuations in energy prices. Of course, opting for a fixed energy deal carries the risk that, if energy prices drop further, you might end up paying more than you would on a variable tariff. However, analysts have long said that households should not anticipate any significant drops in prices this year. In response, National Energy Action Chief Executive Adam Scorer said: "Any fall in the price of energy is always welcome news, but this is a short fall from a great height. Bills remain punishingly high for low-income households. "Four years of extraordinarily high energy bills has taken its toll. We hear heart-breaking cases every day. "The likely expansion in eligibility for the Winter Fuel Payment will be a relief for some, but National Energy Action is calling for deeper energy bill support and a real focus to support households out of debt." How do I calculate my energy bill? BELOW we reveal how you can calculate your own energy bill. To calculate how much you pay for your energy bill, you must find out your unit rate for gas and electricity and the standing charge for each fuel type. The unit rate will usually be shown on your bill in p/ standing charge is a daily charge that is paid 365 days of the year - irrespective of whether or not you use any gas or electricity. You will then need to note down your own annual energy usage from a previous bill. Once you have these details, you can work out your gas and electricity costs separately. Multiply your usage in kWh by the unit rate cost in p/kWh for the corresponding fuel type - this will give you your usage costs. You'll then need to multiply each standing charge by 365 and add this figure to the totals for your usage - this will then give you your annual costs. Divide this figure by 12, and you'll be able to determine how much you should expect to pay each month from April 1. How can I find the cheapest fixed deals? To find the best fixed energy deals, start by visiting price comparison websites, which aggregate various offers from different energy suppliers. The best sites include and MoneySavingExpert's Cheap Energy Club. Enter your postcode and current energy usage details to receive a list of available deals tailored to your needs - it'll take you less than five minutes. You'll then be able to compare the rates, contract lengths, and any additional features or benefits offered by each deal. Next, visit the websites of individual energy suppliers to check if they have exclusive deals that are not listed on comparison sites. Sometimes, suppliers offer special promotions or discounts directly to customers. Compare these offers with those on the comparison websites to ensure you get the best possible rate. Finally, consider customer service reviews and the overall reputation of the suppliers. Once you have identified the best deal, follow the instructions to switch your energy provider.
