Energy bills are set to rise drastically in the U.K. after the country's energy regulator announced its cap on prices would rise by 54% in April.
Britain's energy price caps are reviewed by the government's regulator, Ofgem, every six months.
Ofgem, the energy sector regulator, said on Thursday that its price cap would be raised by 54%, marking a record-breaking increase.LONDON — Energy bills are set to rise drastically in the U.K. after the country's energy regulator announced its cap on prices would rise by over 50% in April. The U.K. has limits on how much suppliers are able to charge consumers for energy, with price caps reviewed by the government every six months.
Ofgem, Britain's energy sector regulator, said on Thursday that its price cap — under which the average household's annual energy bill is currently between £1,277 and £1,370 — would be raised by 54%, marking a record-breaking increase.Wholesale natural gas prices reached record highs in Europe last year
, caused by a number of issues including low inventories and Russia tightening its gas supply to the EU, creating an energy crisis across the region that many countries are still grappling with.More than 22 million British households are connected to the country's gas grid. Britain's largest single source of gas is the U.K. Continental Shelf, which made up around 48% of total supply in 2020.
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