Runner Up - Newtown Local Business of the Year 2024 (Third Sector)

NEWS

Energy price cap to drop again in July

Residents in Newtown may be feeling relief over the news of a drop in energy prices, but experts warn that this decrease may only be temporary.

3 weeks ago   1 minute read   1,016 views

The image for Energy price cap to drop again in July
 
Share       

Residents in Newtown may be feeling relief over the news of a drop in energy prices, but experts warn that this decrease may only be temporary.

According to a recent announcement by the energy regulator, the average annual energy bill is set to be £506 cheaper than a year ago from July, bringing the average annual bill down to £1,568—a 7% reduction.

  Sign up for All About Newtown Daily

Our new free daily information email service. Click here to learn more.

However, this reduction comes after a significant spike in energy costs following Russia's invasion of Ukraine earlier this year, with standard bills skyrocketing to £1,690 per year for the current period from 1 April to 30 June.

Prior to the energy price shock, a typical bill was just £1,084, meaning that homes in Newtown are facing an extra cost of £484 when compared to three years ago.

Despite the slight relief brought by the falling energy price cap, many households are still struggling to make ends meet.

Dame Clare Moriarty, the chief executive of Citizens Advice, highlighted that while lower energy prices are helpful, millions of households are already in debt to energy providers or are unable to cover their essential costs each month.

Experts are predicting that this temporary drop in energy prices will not last long, with forecasts indicating that bills could increase again coming into the winter months. Respected research firm Cornwall Insight forecasts that a typical energy bill could rise to £1,762 from October and remain at this level until the end of March.

The increase in energy costs is attributed to rising wholesale gas prices, with concerns over potential disruptions in gas supplies from Russia to Europe and issues with US exports to Europe. This has led to gas prices reaching four-month highs earlier this week, further complicating the energy cost landscape for residents in Newtown.

You've viewed 1 stories so fas!

All About Newtown is an independent not-for-profit online news and information service for the town of Newtown in Mid Wales. We provide ad-free content, so rely on reader subscriptions and donations to run.

  Donate via PayPal

Related or similar stories based on this one

Ofgem slashes energy price cap to £1,923

9 months ago

Increased energy bills from January

6 months ago

Age Cymru offer free home energy checks

11 months ago

New project launches to save residents money on their energy bills

6 months ago

Householders warned about traders offering to install home energy products

1 year ago

How energy efficient are homes in Newtown?

4 months ago

Business of the Week
New Home Furnishings

Vastre Industrial Estate

Follow us

Connect with us on Facebook, X (formerly Twitter), Instagram and Google News

     

Trending
Award winning escape rooms go mobile

2 days ago

New bridge to be installed next week

15 hours ago

General Election 24: Oliver Lewis

1 day ago

Donate to us

We're a not-for-profit community interest company and have no corporate owners. We'd appreciate anything you can give to keep us providing free content.

  Donate via PayPal
Upcoming Events
A History (and Future) of Learning Disabilities in the UK

20/06/24 10:00am

Digital Friends’ Group

21/06/24 09:30am

David Bolton - TV Hypnotist

21/06/24 06:00pm

Latest Stories
New bridge to be installed next week

15 hours ago

Inflation returns to 2% target

16 hours ago

Final day to apply for postal vote in General Election

20 hours ago

ICNN Logo