Ofgem is to consult on the energy price cap, as suppliers continue to falter amidst record high power prices.
Ofgem has confirmed that the default price cap will rise again in October, as energy prices hit record highs amid the world emerging from lockdown.
With debt related costs back to pre-pandemic levels, Ofgem is considering not adding an additional float to price cap period seven.
The default energy price cap is set to increase by £96 from 1 April 2021, returning to pre-pandemic levels to reflect rising wholesale prices.
Ofgem is to adjust the default tariff price cap by almost £24 in response to growing bad debt as a result of the COVID-19 pandemic.
The default tariff price cap is set to increase by £66 from April 2021 as wholesale power prices jump.
Ofgem is consulting on amending the default tariff price cap, in a move that would increase household energy bills by £21 per household.