energy price cap
The energy regulator Ofgem sets the energy price cap in a bid to limit the price a supplier can charge you per unit of electricity and gas. This stops supplies simply passing.
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Introduced by the UK government the limit is set and reviewed every six months by Ofgem the energy regulator.
. The energy price cap limits the rates energy suppliers can charge on standard variable rate and prepayment energy tariffs. From October 2021 the price of an average standard variable energy tariff will be capped at 1277 a year -. The unit measure which your energy bill is calculated from and which you may see on your bills is a kilowatt-hour kWH.
However the energy cap only applies to customers who are on a standard variable tariff SVT which is. How much is the energy price cap. The energy price cap is the maximum amount a utility company can charge an average customer in the UK per year for the amount of electricity and gas they use.
Energy suppliers are seeking to tie customers to fixed deals costing as much as 4000 a year as ministers face growing warnings over untenable proposed rises to.
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