Energy regulator Ofgem has said it will continue to announce the cap on household energy prices, despite the Government saying it would guarantee lower bills for customers. Ofgem said that it plans to still make the announcements every three months, as it continues to regulate how much energy suppliers can charge for their services.
Suppliers will then submit part of their regulated bill to each household, and the remainder to the Government. The regulator said it will continue to announce the price cap over the next two years.
In response to a query by the PA news agency, it said: “The price cap still has a role in limiting profits in domestic retail and setting a maximum level suppliers can charge whether that level is subsidised or not."
