Ofgem energy price cap: Energy regulator confirms date winter price cap will be announced this month
Under the current Ofgem price cap, a typical household with average energy use pays £2,074 a year for their gas and electricity.
Energy regulator Ofgem has confirmed the exact date later this month they will announce their energy price cap for October 1 - December 31. Currently, a typical household with average energy use pays £2,074 a year under the price cap, which will run until September 30.
Analysts at Cornwall Insight expect the price cap to then fall to £1,860 from October 1 - although this prediction could change over the next few weeks.
Ofgem will officially announce its next price cap on August 25 and this will cover from October 1 to December 31. This means Brits can expect a reduction in energy bills as we head into the colder winter months.
It’s important to remember there isn’t a total cap on how much you can pay for energy. The number for the energy price cap just illustrates what someone with typical usage is likely to pay over a year.
The price cap - which is based on wholesale prices during an assessment period - sets the unit rates you’re charged for gas and electricity, as well as the standing charges.