Energy regulator Ofgem has today (Thursday 25 May 2023) announced its quarterly update to the energy price cap for the period 1 July – 30 September 2023.
From 1 July, the energy price cap will be set at an annual level of £2,074 for a dual fuel household paying by direct debit based on typical consumption, which reflects recent falls in wholesale energy prices.
Ofgem has robust rules in place to help people in vulnerable situations, and suppliers are obliged to offer payment plans and direct customers to available support.
The price cap is a cap on a unit of gas and electricity, with standing charges taken into account. It is not a cap on customers’ overall energy bills, which will still rise or fall in line with their energy consumption. From 1 July the equivalent per unit level of the price cap to the nearest pence for a typical customer paying by direct debit will be 30p per kWh for electricity customers and a standing charge of 53p per day. The equivalent per unit level for a typical electricity muti-register customer is 29p per kWh and with a standing charge of 53p per day. The equivalent per unit level for a typical gas customer is 8p per kWh with a standing charge of 29p per day.