Energy bills for British households could be reduced if the Government encouraged the widespread adoption of flexible, time-varying tariffs, a major new report has suggested.
Although generation costs fluctuate "a lot" depending on location and timing, the vast majority of domestic energy customers remain on flat rates that ignore these differences, according to research by the Institute for Fiscal Studies (IFS) and LSE, funded by the Nuffield Foundation as part of the IFS Green Budget.
