Life News
UK energy price cap to rise 4% in October to £1,723, a three-year high, with January worse
Ofgem has confirmed that the energy price cap for Great Britain will rise by 4% from 1 October, to £1,723 a year for a typical household using gas and electricity, up from £1,663. The Guardian said it is the highest cap in three years and the second rise in three months, after a 13% increase in July driven by the war on Iran. ITV News put the rise at £60 a year, or £5 a month.
Both outlets cited Cornwall Insight's forecast of a further rise in January, of £149 to £1,872. The Guardian said a typical standard-tariff home will pay £350 a year more than in 2024, with wholesale energy making up £812 of the bill and network costs £417.
“Energy bills are simply too high.” — Clare Moriarty, Citizens Advice, via The Guardian and ITV News
Prime Minister Andy Burnham told reporters the rise was difficult and pointed to his removal of VAT from electricity bills. ITV noted that gas still carries 5% VAT. Energy secretary Miatta Fahnbulleh blamed the Iran war and said upgrading networks was "not a choice".
How each outlet framed it
- The Guardian — the political pressure: the 2024 pledge to cut bills and calls for windfall taxes.
- ITV News — what to do now: fixed tariffs at £100 or more below the cap, off-peak deals for smart meters, and cheaper prepayment rates.
What we don't know yet: January's cap is still a forecast. About a third of households are on fixed deals and will not be affected in October, but they will face the market when their deals end.