Reacting to today’s announcement by Ofgem of a reduction in the Energy Price Cap from July, Chief Executive of Consumer Scotland Sam Ghibaldan said:
“It is good news that consumers will see the benefit of lower wholesale prices, but the energy bill for a typical household will still be around £800 more than it was in early 2022.
“It is also worth noting that the Energy Bill Support Scheme - worth £400 per year to households - ended on 31 March this year. This means that households annualised bills will be around the same in Q3 as in Q2, despite the price cap falling from £2500 to £2,076.
“Continuing high prices mean energy bills are still unaffordable for many, particularly those in vulnerable circumstances.
“With energy price volatility being forecast for the next decade these figures underline that fact that the best way to reduce bills is by reducing demand through improved energy efficiency.”
Background
Established under the Consumer Scotland Act 2020, Consumer Scotland is a Non-Ministerial Office, independent from government and accountable to the Scottish Parliament.
Consumer Scotland has highlighted ongoing issues of affordability in the energy market in a series of tracker surveys.
Consumer Spotlight: Energy Affordability Tracker 2