Ofgem confirms energy price cap jump

Ofgem has confirmed a 13% increase in the energy price cap for the next quarter.

The regulator blamed the increase on higher wholesale gas prices, caused by the ongoing conflict in the Middle East.

However, it pointed out that prices remain well below the height of the energy crisis in 2022 when the government stepped in to cap bills at £2,500. 

It added from July, electricity prices are set to increase by less than gas prices - unlike what we saw during the energy crisis. 

Customers will also see a smaller price increase of around 5% on their electricity bills compared to gas bills which are rising by 24%, reflecting  the increase in the amount of renewable generation on the system and therefore reduced reliance on gas to generate our electricity.