By Energy bills to rise by up to £96 for millions as Ofgem hikes price cap
Increased wholesale costs have driven the increase, but suppliers can also charge extra to cover coronavirus bad debt.
The energy regulator Ofgem has announced its latest energy price cap which, from the 1st of April 2021, will see a rise of £96 to £1,138 for the 11m customers on standard variable tariffs (SVTs) and a rise of £87 to £1,156 for the 4m pre-payment meter customers.
Ofgem chief executive Jonathan Brearley sent a message to consumers saying: ‘The best way to get the best value out of this market is to get in and switch your supplier. You can do better than this price cap we estimate by around £150.’
Bill payers have been urged to shop around for a better deal.
Money Saving Expert, Martin Lewis
Money Saving Expert, Martin Lewis released a statement saying ‘The main cap is for those on standard tariffs paying by direct debit – that is over half of you.
In fact, it’s a rate cap not a price cap, in reality. There is no one price you should pay more than. The more you use, the higher your cap – the less you use, the less it is.’
