Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, whether his Department has made an assessment of the effect of a potential fall in wholesale energy prices on future levels of domestic energy prices.

Despite the recent fall in wholesale energy prices, energy markets remain volatile, and prices are still well above historical norms. Suppliers typically buy energy in advance of when it is delivered and Ofgem determines a maximum price they can charge consumers to recover the cost of this through the price cap. This means there can be a delay between changes in wholesale prices and these being reflected in consumer bills.

The Government’s Energy Price Guarantee (EPG) will save a typical household around £900 this winter.