Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what recent conversation her department has had with Ofgem about the expected energy price increase in October.
Legislation sets out that Ofgem, as the independent regulator, are solely responsible for operating the price cap and set the cap at a level that reflects the underlying costs incurred by an efficient supplier to provide gas and electricity to their customers.
The Government recognises that any price rise is a concern for households. The latest increase in energy bills is driven by increased wholesale energy costs, particularly gas, due to the ongoing situation in the Middle East. This means families and businesses are still experiencing the effects of global fossil fuel markets and is why we are so focused on getting onto clean, homegrown power that we control.
The Government has already intervened to give households breathing space with the cost of living by cutting VAT on electricity bills.
In addition, this Government took an average £150 of costs off bills at the Autumn budget, which will be factored into bills for years to come.