Lightbulbs
The energy cap will increase for both default tariff and pre-payment meter customers.
Jane Imrie

Ofgem boss calls for fair pricing as energy cap to return to pre-pandemic levels

The government’s energy regulator Ofgem has announced today that the energy price cap will increase to pre-pandemic levels from April 1.

Ofgem has confirmed that as a result of changes in wholesale energy prices, the price cap will increase by £96 to £1,138 for 11 million default tariff customers, and by £87 to £1,156 for 4 million pre-payment meter customers.

When wholesale prices fell last year in the wake of the first lockdown, the level of the price cap fell by £84 in October.

Jonathan Brearley, chief executive of Ofgem, commented: “Energy bill increases are never welcome, especially as many households are struggling with the impact of the pandemic. We have carefully scrutinised these changes to ensure that customers only pay a fair price for their energy.

“The price cap offers a safety net against poor pricing practices, saving customers up to £100 a year, but if they want to avoid the increase in April they should shop around for a cheaper deal.

“As the UK still faces challenges around COVID-19, during this exceptional time I expect suppliers to set their prices competitively, treat all customers fairly and ensure that any household in financial distress is given access to the support they need.”

Looking to promote your product/service to SME businesses in your region? Find out how Bdaily can help →

Enjoy the read? Get Bdaily delivered.

Sign up to receive our popular morning National email for free.

* Occasional offers & updates from selected Bdaily partners

Our Partners

Top Ten Most Read