{"id":192593,"date":"2025-11-21T13:30:08","date_gmt":"2025-11-21T13:30:08","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/192593\/"},"modified":"2025-11-21T13:30:08","modified_gmt":"2025-11-21T13:30:08","slug":"energy-bills-to-edge-higher-for-most-britons-after-0-2-price-cap-rise","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/192593\/","title":{"rendered":"Energy bills to edge higher for most Britons after 0.2% price cap rise"},"content":{"rendered":"<ul data-testid=\"Summary\" class=\"summary-module__summary__QjADA\">\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Ofgem increases domestic price cap by 0.2% due to higher policy costs<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Government under pressure to unveil measures to cut household bills<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Analysts predict further cap rise in April due to non-energy costs<\/li>\n<\/ul>\n<p>LONDON, Nov 21 (Reuters) &#8211; Millions of British households will see energy bills edge higher next year after regulator Ofgem said it would increase its domestic price cap by 0.2% from January due to higher policy costs.<\/p>\n<p>The rise, though small, will be a blow for the government which has pledged to reduce energy prices and is under pressure to unveil measures in the budget next week to help cut household bills.<\/p>\n<p data-testid=\"promo-box\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf article-body-module__promo-box__hVl8h\"> Sign up  <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/sustainability\/boards-policy-regulation\/uk-energy-watchdog-ofgem-raises-price-cap-by-02-january-2025-11-21\/undefined?location=article-paragraph&amp;redirectUrl=%2Fsustainability%2Fboards-policy-regulation%2Fuk-energy-watchdog-ofgem-raises-price-cap-by-02-january-2025-11-21%2F\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">here.<\/a><\/p>\n<p>The increase is partly due to the addition of nearly 1 pound per month to bills to help pay for the new Sizewell C nuclear plant, which is expected to cost some 38 billion pounds ($50 billion), and comes despite a 4% fall in wholesale energy costs.<\/p>\n<p>Breakdown of price cap costs in a UK household dual fuel bill (%)<\/p>\n<p>Most analysts had expected the lower wholesale costs to lead to a slight fall in bills.<\/p>\n<p>Wholesale gas and power prices are a major part of the formula Ofgem uses to calculate the price cap, but network and policy costs are becoming a larger part of the bill as the network is upgraded and more social and environmental levies are added to bills.<\/p>\n<p>Consumer groups said energy costs remained unmanageable for many and urged more support for those struggling.<\/p>\n<p>\u201cWe know that energy bills remain too high,&#8221; said Minister for Energy Consumers, Martin McCluskey.<\/p>\n<p>He said the government had expanded a scheme to help vulnerable households pay their energy bills this winter and the move to renewables and cleaner energy would help bring down costs over the longer term.<\/p>\n<p>FURTHER PRICE RISE ON THE HORIZON<\/p>\n<p>Analysts expect the cap will rise further next April with levies added to bills to cover maintaining and upgrading the energy network expected to increase.<\/p>\n<p>&#8220;Our forecast shows bills climbing again in April, but not because of wholesale energy &#8211; it\u2019s down to the non-energy costs that keep the system running and future-proofed,&#8221; said Craig Lowrey, principal consultant at Cornwall Insight.<\/p>\n<p>Cornwall forecasts the cap will rise to around 1,814 pounds a year in April 2026 without intervention.<\/p>\n<p>Experts urged the government to introduce new measures in the budget.<\/p>\n<p>&#8220;The industry is keen to see the government take action to reduce bills &#8230; for example by removing some levies from electricity costs,&#8221; said Dhara Vyas, chief executive of Energy UK.<\/p>\n<p>The new cap of 1,758 pounds ($2,300) a year for average use of electricity and gas is up around three pounds from the previous cap for the period from October to the end of December.<\/p>\n<p>British domestic energy price cap for average use<\/p>\n<p>($1 = 0.7639 pounds)<\/p>\n<p data-testid=\"SignOff\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__extra_small__8Buss body-module__full_width__kCIGb body-module__extra_small_body__Bfz20 sign-off-module__text__LQAMP\">Reporting by Susanna Twidale in London, additional reporting by Raechel Thankam Job and Yadarisa Shabong in Bengaluru; Editing by Sherry Jacob-Phillips, Rashmi Aich and Conor Humphries<\/p>\n<p data-testid=\"Body\" dir=\"ltr\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf article-body-module__element__5eCce article-body-module__trust-badge__5mS3f\">Our Standards: <a data-testid=\"Link\" target=\"_blank\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.thomsonreuters.com\/en\/about-us\/trust-principles.html\" rel=\"noopener nofollow\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__medium__2Rl30 text-module__small__sph8i link-module__link__INqxZ link-module__underline_default__-okuC link-module__with-icon__qlg76\">The Thomson Reuters Trust Principles., opens new tab<\/a><\/p>\n<p><a href=\"https:\/\/www.reutersagency.com\/en\/licensereuterscontent\/?utm_medium=rcom-article-media&amp;utm_campaign=rcom-rcp-lead\" target=\"_blank\" dir=\"ltr\" class=\"button-module__link__A3sD0 button-module__secondary__70gBu button-module__round__QDFgq button-module__w_auto__Sem-F\" data-testid=\"LicenceContentButton\" rel=\"nofollow noopener\">Purchase Licensing Rights<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Ofgem increases domestic price cap by 0.2% due to higher policy costs Government under pressure to unveil measures&hellip;\n","protected":false},"author":2,"featured_media":192594,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[174],"tags":[82758,84105,79,82500,1802,82528,94004,82532,83620,83116,179,18,91561,91562,93733,55396,83599,7520,83600,83601,83371,4893,82520,82522,83001,32356,82503,107254,82516,45748,19,82504,96060,102523,82505,82765,17,84446,83122,82565,83628,83000,45751,91563,83602,82508,82510,83604,83002,82964,83622,83624,83612,100032,83606,83616,83363,15170,83618,83617,83366,83367,82533,83609,83610,107255,107256,83629,82518],"class_list":["post-192593","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-bisv","tag-blr","tag-business","tag-cmpny","tag-com","tag-destoukbsm","tag-destoukdnm","tag-destouktpm","tag-destousnrg","tag-eco","tag-economy","tag-eire","tag-eleu","tag-elut","tag-elut1","tag-emea","tag-ener","tag-energy","tag-enff","tag-eng","tag-enr","tag-eu","tag-europ","tag-ezc","tag-fi","tag-fin","tag-fins","tag-gasu","tag-gb","tag-gen","tag-ie","tag-indg","tag-indm","tag-indmac","tag-inds","tag-intag","tag-ireland","tag-mach","tag-mce","tag-mtpix","tag-ngs","tag-nord","tag-nrg","tag-nrgreg","tag-oilg","tag-pol","tag-publ","tag-pwr","tag-pxp","tag-regs","tag-repigas","tag-repigovernance","tag-repigrid-infrastructure","tag-repinuclear","tag-rnw","tag-rsbiclean-energy","tag-rsbiregulatory-oversight","tag-sustainable-business","tag-topicenergy-power","tag-topicenergy-transition","tag-topicmarkets-commodities-energy","tag-topicsustasinability-the-switch","tag-topnws","tag-util","tag-utim","tag-utim08","tag-utlnuc","tag-utlreg","tag-weu"],"share_on_mastodon":{"url":"","error":"Validation 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