16:46 - 26.08.2026

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August 26, Fineko/abc.az. UK energy regulator Ofgem announced a 4% increase in the energy price cap starting October, driven by escalating wholesale costs stemming from conflict in the Middle East. Neil Kenward, Executive Director for Markets at Ofgem, noted that high international gas prices continue to push energy expenses upward across the United Kingdom.

While the government's intervention to eliminate Value Added Tax (VAT) on electricity bills alleviated some pressure, global energy market volatility has largely offset these benefits. The new regulation reflects a £60 increase compared to the July–September period, raising the average annual bill cap to £1,723 ($2,348).

This adjustment is expected to directly impact approximately 22 million households on variable tariffs, covering around 65% of all energy consumers in the country.