![\"Gas](\"https:\/\/dailybusinessgroup.co.uk\/wp-content\/uploads\/2022\/09\/Gas-bill-1.jpg\")
Energy bills will fall by average \u00a3117 or 7% a year in April, said the industry regulator Ofgem, confirming earlier forecasts on the new price cap.<\/p>\n
The cut will benefit consumers in Scotland, England and Wales and comes after Chancellor Rachel Reeves announced changes to the billing structure.<\/p>\n
She said the typical annual household energy bill would fall by \u00a3150, by scrapping the Energy Company Obligation scheme introduced by the Conservatives in government, and also moving some charges onto general taxation.<\/p>\n
The 7% fall in the price cap is the largest seen since last summer.<\/p>\n
However, prices still remain relatively high by historical standards, debts have ballooned, and billpayers are being urged to shop around for further savings.<\/p>\n
Richard Neudegg, director of regulation at\u00a0Uswitch.com, said:\u00a0\u201cThis 7% drop in April\u2019s energy price cap is a meaningful cut for household bills, taking default tariffs to their lowest level in almost two years. While energy won\u2019t feel \u2018cheap\u2019 for consumers, this is a welcome move in the right direction.\u201d<\/p>\n
Angharad Hopkinson, political campaigner for Greenpeace UK, said: \u201cStripping out levies from our bills will help struggling households, but significantly less than it should, because the cost of electricity is still set by volatile global gas prices. <\/p>\n
\u201cThe government\u2019s efforts to make energy more affordable could be wiped out by another gas price spike. People are crying out for lower energy bills, and the government must do more to help them by stopping gas from setting the price we pay for electricity.\u201d\u00a0<\/p>\n
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