2019/02/07 Sky News: Ofgem Raises Energy Price Cap
Energy price cap 'unravels' as £117 added to bills
The price cap policy designed to protect consumers has only been in place since January but critics say it is already in disarray.
Millions of households will see an average £117 rise in energy bills from April after regulator Ofgem announced an increase in its price cap on default tariffs.
Ofgem blamed higher wholesale gas and electricity costs for the rise, affecting 11 million customers - with a typical dual fuel annual bill going up from £1,137 to £1,254.
Stephen Murray, energy expert at price comparison site MoneySuperMarket, said: "The cap was put in place to protect consumers from overpaying on their energy, but right now it's doing anything but that.
"It's only taken five weeks for it all to unravel, and households up and down the country will be scratching their heads in confusion and wondering how the claims of 'fair prices' and '£76 per year saving' have disappeared, and so quickly."
Richard Neudegg, head of regulation at uSwitch, said: "We are in a ridiculous situation where standard plans are likely to be higher in April than before the cap was introduced."