Ofgem has said it will continue to announce the cap on household energy prices, despite the UK Government saying it would guarantee lower bills for customers. The energy regulator said that it plans to still make the announcements every three months, as it continues to regulate how much suppliers can charge for their services.
Suppliers will then submit part of their regulated bill to each household, and the remainder to the UK Government.
"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," the regulator said following a query by the PA news agency. It added that it will continue to announce the price cap over the next two years.
