The biggest single cost on a bill is the price of the energy. The wholesale cost of the energy makes up approximately 40% of an electricity bill and 70% of a gas bill, with the remaining being TPCs, which have been continuously rising in recent years and can be volatile.
This pricing report will focus on the energy element of a bill to help you keep track and understand the wholesale energy market and the factors affecting the price of your contracts.
View the 9th September report here (pdf)
Includes:
- Overview
- Gas and power review – Contract prices have decreased since the surge at the end of August, with gas prices 58% lower and power prices 54% lower
- Energy news – including Liz Truss’ – Energy Price Guarantee
- Nord Stream 1 Shut Down
Overview:
Liz Truss became Britain’s new prime minister on the 6th of September and within less than 48 hours into the job announced a two-year “Energy Price Guarantee” with a £2,500 yearly price cap for the average household until October 2024.
The plan for businesses was not as detailed or clear. The prime minister announced that businesses will get similar support, under a scheme lasting six months to protect them from soaring energy costs and provide them with the certainty they need to plan their business. After this, she has promised there will be continuing support, particularly for vulnerable industries. There will be a review in 3 months’ time to consider where this should be targeted to make sure those most in need get support.
