tariff cap

  • Home supply and services

    No easy fix: tariff prices remain high

    In response to the unprecedented increases in global gas prices, Ofgem announced last week time limited measures “to help stabilise” the supply market. This includes a requirement for all domestic suppliers to offer existing customers the same tariffs available to new customers from 14 April, echoing changes made by the...

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    Last Resort Supplier Payments: the impact on domestic electricity bills

    The presence of a significant increase in commodity costs in 2021, combined with the Default Tariff Cap limiting the revenues that suppliers can recover in the domestic market, has contributed to a number of suppliers falling into insolvency in the last 9 months. The Supplier of Last Resort (SoLR) process...

  • Home supply and services

    The default tariff cap: More questions than answers?

    Throughout the recent period of wholesale and supply market volatility, the government and Ofgem have remained committed to the default tariff cap and continued to highlight its benefits to customers in protecting them from rising energy prices this winter. However, Cornwall Insight’s forecast of the default tariff cap for Summer...

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    Ticking Clock

    With the political debate regarding energy prices and their impacts on the cost of living – not to mention the economy at large – the default tariff cap announcement for Summer 2022 from Ofgem at the start of next month is the most anticipated since the cap’s inception.

  • Home supply and services

    Chart of the week | Default tariff cap set to rise by at least £100 for coming winter

    The default tariff price cap for a typical dual fuel direct debit customer looks set to increase by over £100 for the Winter 2021-22 period, according to an initial assessment from Cornwall Insight’s bi-annual tariff cap predictor. The latest forecast for the cap indicates that it will increase to around...

  • Home supply and services

    Chart of the week | Tariff caps squeeze Big Six profits

    In this week's Chart of the Week, we review SSE’s annual results announcement on 22 May. Now, all of the Big Six have either reported or commented on the financial performance of their energy supply operations since the introduction of the default cap at the start of this year. Their comments...

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    Chart of the week | A tariff cap is not a price freeze

    The final confirmation of the default tariff cap on 6 November has caused a good deal of commotion. Most notably the announcement from SSE and npower that the cap is a key factor in renegotiating their merger. But, the price cap that will apply from 1 January is just over...