Secretary of State for Business, Energy and Industrial Strategy
(): HM Government is
acting to protect British households from the spiralling costs of
energy. The Energy Price Guarantee (EPG) which will give people
certainty with their bills. The EPG will apply from 1 October and
will discount the unit cost for gas and electricity use.
This guarantee, which includes the temporary suspension of green
levies, means that from the 1st October a typical
household will pay no more than £2500 per year for each of the
next two years. This will save the typical household £1000 a
year. It comes in addition to the £400 Energy Bill Support
Scheme.
The scheme will start on the 1st October 2022, when
Ofgem’s new price cap is due to come into effect. Cost
projections for the delivery of the EPG are uncertain as they
depend upon usage levels (which are highly dependent on weather
patterns) and, for future three-month periods, the wholesale
price of energy.
The new guarantee will apply to households in Great Britain, with
the same level of support made available to households in
Northern Ireland.
HM Government will also support all business, charities and
public sector organisations with their energy costs this winter,
offering an equivalent guarantee for six months.
The Chancellor of the Exchequer will set out the expected costs
as part of the fiscal statement later this month.
