Ofgem energy price cap

Ofgem considers a range of information when deciding where the price cap should be set. This would mean that bills could go up quicker but that they could also fall.

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The price that energy suppliers pay for the gas and electricity they buy is a.

. The cap which limits prices for 22 million households on standard tariffs or pre-payment meters is updated every six months at present and rose by a record 54 per cent to almost 2000 a year in April. Ofgem considers a range of information when deciding where the price cap should be set. The chief executive of Ofgem has proposed changes to review the energy price cap four times a year instead of two.

The energy price cap will be updated every three months from October under Ofgem proposals to pass on changes in wholesale prices to households more quickly. Ofgem knows this rise will be extremely worrying for many people. The energy price cap was introduced in 2019 by Ofgem to prevent companies from making excessive profits by charging unfair prices but allows these companies to pass on all reasonable costs to.

Those on default tariffs paying. Customers struggling to pay their energy bill should contact their supplier to access the help available. The price that energy suppliers pay for the gas and electricity they buy is a.

Record increase in global gas prices sees energy price cap rise of 54. The energy price cap will increase from 1 April for approximately 22 million customers.

Record Gas Prices Drive Up Price Cap By 139 Customers Encouraged To Contact Supplier For Support And Switch To Better Deal If Possible Ofgem