Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, whether her Department has made an assessment of the potential impact of the recent Energy Price Guarantee increase on (a) the competitiveness of the energy market and (b) the ability for consumers to switch supplier.

Due to recent falls in the wholesale price of energy as reflected in Ofgem’s price cap, households without a pre-payment meter have not received an EPG discount on their bills since 30 June. PPM customers currently receive a small discount to bring their costs into line with direct debit. There has been a recent increase in switching rates, and these are expected to increase as fixed contracts return to the market.

On 1st July the EPG 'target bill' was increased from £2500 to £3000. It is unlikely this change itself has had any significant impact on the competitiveness of the energy market, or the ability for consumers to switch suppliers, because the Ofgem price cap sits well below both amounts.