UK ENERGY PRICES TO DROP FROM APRIL AS COST OF LIVING REMAINS HIGH

Tue 27 February 2024:

The United Kingdom’s (UK) energy regulator announced on Friday that the average annual energy cost for British homes will decrease to 1,690 British pounds (about 2,140 US dollars) as of April 1.

The price cap, which sets a maximum rate per unit that can be charged to customers for their energy use, will fall by 12.3 percent in the previous quarter from April to June 2024, the Office of Gas and Electricity Markets (Ofgem) said in a press release.

“This is good news to see the price cap drop to its lowest level in more than two years — and to see energy bills for the average household drop by 690 pounds since the peak of the crisis,” said Jonathan Brearley, CEO of Ofgem.

However, Ofgem admitted that the cost of living remains high and many Britons are still struggling with their bills as standing charges rise and energy debt reaches a record figure of 3.1 billion pounds.

“While energy bills are falling year-on-year, they remain significantly higher than they were before the cost of living crisis,” said Emily Fry, senior economist at the think tank Resolution Foundation.

“This is especially true for families living in poorly insulated homes, who have to pay over a third more for gas and electricity compared to living in a well-insulated property,” she added.

The Resolution Foundation calculated that typical annual household energy bills in 2024 will be 28 percent, or about 360 pounds, higher in real terms than pre-crisis levels in 2021. (1 British pound = 1.27 U.S. dollar)

SOURCE: INDEPENDENT PRESS AND NEWS AGENCIES

______________________________________________________________

FOLLOW INDEPENDENT PRESS:

WhatsApp CHANNEL
https://whatsapp.com/channel/0029VaAtNxX8fewmiFmN7N22