New analysis from an independent energy consultancy group is warning that the price cap is set to rise to nearly £4,000 at the start of next year. Research by Auxilione suggests that the UK Government’s price cap, which sets bills for more than 20 million households across the country, could be increased further than previously predicted by Cornwall Insight and Investec.
The company said that between October and December the price cap is likely to be £3,488 per year for the average household on a standard tariff with typical usage. Energy bills are currently capped at £1,971, already a record high, but from January the price will soar by another £500, hitting £3,994.
Predictions for January are still uncertain as there are more than three months left until the price is decided, but October’s prediction is likely to be more accurate and is due to be announced by Ofgem in the next few weeks.
