The energy price cap is on course to remain steady through this winter but may jump in six months’ time, according to a respected industry forecast.
Ahead of the 2% rise in the default tariff, which is imposed from Wednesday until the end of December, Cornwall Insight said it was currently predicting that the latest increase would be eradicated for the January-March quarter.
It saw a £30 drop to average annual bills at the start of 2026, despite the specialist saying the expected addition of a £10 per year levy to support the next generation of new nuclear power stations.
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Cornwall Insight warned that further government-imposed policy costs could add £100 more a year to bills from April, building on higher charges in place to pay for the green energy future and help for households through the expanded warm home discount.
Its prediction, which is subject to wholesale market movements and regulatory consultations on how to apply such charges to bills, would see the cap hit £1,855 from the October-December average of £1,755.
Policy costs to assist the battle against climate change are playing an increasing role in determining the level of the price cap.
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