Overview

• Cornwall Insight forecasts Ofgem’s energy price cap will fall from £1,849 to £1,683 in July, pending official confirmation on May 27.
• The predicted 9% reduction would save the average household £166 annually, offering slight relief from elevated energy costs.
• Key factors driving the forecast include warmer weather and reduced global gas demand linked to Donald Trump’s recent trade tariffs.
• Experts caution that the energy market remains highly volatile, with geopolitical and economic shifts potentially reversing price declines.
• Analysts emphasize the need for domestic low-carbon energy generation to stabilize prices and reduce reliance on international markets.