In the Spring Budget this afternoon, the Chancellor declared that the cap on household energy bills in the UK will be extended for an additional three months.
Last year, the government introduced the Energy Price Guarantee to shield British households from high energy prices, which were exacerbated by the Russian invasion of Ukraine.
This program put a cap of £2,500 on annual energy costs for an average household.
The price cap was set to increase to £3,000 in April, but the Chancellor, Jeremy Hunt, revealed that it would remain at its current level until June. The government anticipates that this three-month extension will save an average household approximately £160.
Making the announcement he said: “High energy bills are one of the biggest worries for families, which is why we’re maintaining the energy price guarantee at its current level.
“With energy bills set to fall from July onwards, this temporary change will bridge the gap and ease the pressure on families, while also helping to lower inflation too.”
