Energy Prices to Drop: Ofgem Adjusts Cap Effective Mid‑July

Energy Prices to Drop: Ofgem Adjusts Cap Effective Mid‑July

Ofgem Lowers Energy Price Cap, but the Fight Isn’t Over

From 1 July, the UK’s average household energy bill is expected to shrink by about 7%. That means the price cap will be trimmed from £1.690 to £1.568 per unit for dual‑fuel households.

While the cut offers a glimmer of relief, many families are still staring at bills that keep them in the red.

Voices from the Brains that Guide Us

  • Dame Clare Moriarty – Chief Executive of Citizens Advice

    “Sure, a smaller cap is a nice touch, but my data shows millions of people are still over $150 of debt every month. One good news is not enough.”

  • Jonathan Brearley – Ofgem CEO

    “Prices aren’t back to pre‑pandemic levels. Expect them to stay high and bumpy for the foreseeable future.”

  • Dhara Vyas – Deputy Chief of Energy UK

    “The new cap is a relief for those who paid hundreds of pounds more last year, yet it’s merely a return to ‘normal’ – still higher than a year or two ago.”

Why the Cap Is Only Half the Story

  1. Energy bills are still “larger than they were just over two years ago,” says Ofgem.
  2. Customer debt is at record highs and is likely to climb further.
  3. Suppliers are doing their best, but the next Government must partner with industry and Ofgem to craft a long‑term, targeted solution.

In the meantime, families are juggling their finances like a circus act: keeping the lights on, cooking a hot meal, and hoping the electricity bill doesn’t show up as the next punchline.

Looking Ahead

Ofgem’s latest decision is a step in the right…‑direction, but the road ahead is still steep. With the price cap lower, households will feel a pinch less painful, but the underlying debt and volatility prove the real challenge remains.

Stay tuned for updates – because while the cap might have slipped, the battle for affordable energy bills continues.