Energy bills: 10m customers to find out if they will save £100
Energy regulator Ofgem due to set out the level of Theresa May’s price cap on Thursday
Households will discover this week whether they will save £100 on their annual energy bills as Theresa May promised them.
The energy regulator, Ofgem, is due to set out the level of the government’s energy bill price cap on Thursday, which will protect more than 10m households on default tariffs.
The figure will be crucial to determining big firms’ profit margins and whether the government can claim it has delivered on its pledge.
Industry experts believe Ofgem will set the cap on default tariffs in the region of £1,150 to £1,200.
If it was at the lower end of that range, that would allow ministers to say they had saved some consumers about £100.
Gillian Guy, the chief executive of the consumer group Citizens Advice, said: “Loyal energy customers have been overcharged for too long. The price cap should stop the worst overcharging in the market, but still allow well-run firms to make a profit.”
However, she added that while the cap would save loyal customers money, the best way to cut energy bills was still to switch supplier.