UK Energy Price Cap to Increase by 1.2% in January 2025

Households face higher energy bills as the average annual cost rises to £1,738, prompting calls for government support for vulnerable groups.

Ofgem announced that the energy price cap will rise by 1.2%, increasing the average annual bill from £1,717 to £1,738 starting January 2025.
Charities and advocacy groups warn that the increase will exacerbate financial pressures on vulnerable households, including the elderly and low-income families, during the winter months.
Energy suppliers have pledged £500 million to assist struggling customers, but concerns remain over insufficient government support for those most at risk of fuel poverty.
Experts recommend cost-saving measures such as using draught excluders, radiator reflector panels, and smart meters to help households reduce energy consumption.
The rise follows a 10% increase in the price cap for October-December 2024, highlighting the ongoing impact of volatile international energy markets on UK households.