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Daily Mirror
Daily Mirror
Business
Levi Winchester

Exact date energy price cap will rise again - and how much more you could end up paying

Energy bills are expected to rise again this year, with households already paying sky-high prices for their gas and electricity.

The Ofgem energy price cap, which sets a limit on the rates a supplier can charge for each unit of gas and electricity you use, rose by 54% on April 1.

For those on default tariffs paying by direct debit, the price cap increased by £693 from £1,277 to £1,971.

Prepayment customers saw a bigger jump, with their price cap going up by £708, from £1,309 to £2,017.

But when will energy bills rise again, and how much could they go up by?

Are you worried about affording your energy bills this winter? Let us know: mirror.money.saving@mirror.co.uk

When will energy bills rise again?

Under current rules, the Ofgem price cap is reviewed twice a year - once in April and then again in October.

Ofgem wants to change this to four times a year, so every three months - meaning the price cap would be reviewed in January, April, July and October.

This means energy prices will rise and fall more quickly.

The next time the price cap will go up is on October 1 - and if the changes are put through, it'll be reviewed again in January 2023.

Ofgem will confirm how much the October price cap will be on August 26.

We don't know for sure how much the price cap will rise by just yet, but analysts predict it could reach over £3,500 this winter.

Energy analysts at BFY say the price cap could hit £3,420 in October - then £3,850 when it is reviewed again in January 2023.

Cornwall Insight, another energy research specialist, thinks it could rise by £1,388 to hit £3,359 in October.

It could then shoot up by another £257 to reach £3,616 in January 2023 - £1,645 more than it is now.

Ofgem adjusts its price cap to reflect the costs of supplying electricity and gas. It currently covers around 22million households.

As we've mentioned above, the price cap isn't actually a cap at all on how much you pay for gas and electricity.

Instead, it sets the limit on the rates a supplier can charge for each unit of gas and electricity.

This means if you use more energy, you'll pay more - use less, and you'll pay less.

An energy discount worth £400 will be applied to the gas and electricity bills of households across the country from October.

Around 29 million homes across England, Wales and Scotland will receive the new support.

We've got more ways to get help with your energy bills if you're struggling here.

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