Energy bills for a typical household will rise by £21 a year from January, with someone paying by direct debit and using a typical amount of gas and electricity paying £1,738 a year.
The regulator OFGEM has announced the expected rise in the energy price cap
Tim Jarvis, director general of markets at Ofgem, said: “While today’s change means the cap has remained relatively stable, we understand that the cost of energy remains a challenge for too many households.
“Our reliance on volatile international markets – which are affected by factors such as events in Russia and the Middle East – means the cost of energy will continue to fluctuate.
“So it’s more important than ever to stay focused on building a renewable, home-grown energy system to bring costs down and give households stability.”
