{"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":""},"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":{"0":"post-192593","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-bisv","9":"tag-blr","10":"tag-business","11":"tag-cmpny","12":"tag-com","13":"tag-destoukbsm","14":"tag-destoukdnm","15":"tag-destouktpm","16":"tag-destousnrg","17":"tag-eco","18":"tag-economy","19":"tag-eire","20":"tag-eleu","21":"tag-elut","22":"tag-elut1","23":"tag-emea","24":"tag-ener","25":"tag-energy","26":"tag-enff","27":"tag-eng","28":"tag-enr","29":"tag-eu","30":"tag-europ","31":"tag-ezc","32":"tag-fi","33":"tag-fin","34":"tag-fins","35":"tag-gasu","36":"tag-gb","37":"tag-gen","38":"tag-ie","39":"tag-indg","40":"tag-indm","41":"tag-indmac","42":"tag-inds","43":"tag-intag","44":"tag-ireland","45":"tag-mach","46":"tag-mce","47":"tag-mtpix","48":"tag-ngs","49":"tag-nord","50":"tag-nrg","51":"tag-nrgreg","52":"tag-oilg","53":"tag-pol","54":"tag-publ","55":"tag-pwr","56":"tag-pxp","57":"tag-regs","58":"tag-repigas","59":"tag-repigovernance","60":"tag-repigrid-infrastructure","61":"tag-repinuclear","62":"tag-rnw","63":"tag-rsbiclean-energy","64":"tag-rsbiregulatory-oversight","65":"tag-sustainable-business","66":"tag-topicenergy-power","67":"tag-topicenergy-transition","68":"tag-topicmarkets-commodities-energy","69":"tag-topicsustasinability-the-switch","70":"tag-topnws","71":"tag-util","72":"tag-utim","73":"tag-utim08","74":"tag-utlnuc","75":"tag-utlreg","76":"tag-weu"},"share_on_mastodon":{"url":"","error":"Validation 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