UK power sector regulator Ofgem confirmed that the British energy price cap will go up by 4% starting from October. This price cap increase lifts household gas and electricity bills to their highest level in three years.
Higher rates come after wholesale market stress linked to the war in Iran. The UK Energy Secretary said climate policies are also contributing to increased household costs. Together with market forces from the war in Iran, decarbonisation rules drive household gas and electricity bills to a three-year high on the back of the 4% rise in October.