KPMG responds to Ofgem’s October Price Cap announcement

Simon Virley, Vice Chair and Head of Energy and Natural Resources at KPMG responds to the announcement that the Price Cap will fall below £2,000

Simon Virley, Vice Chair and Head of Energy and Natural Resources at KPMG responds

Responding to the announcement from Ofgem this morning that the Price Cap will fall below £2,000 for the first time since April 2022, reducing from £2,074 in Q3 2023, to £1,923 [i] from October 2023, Simon Virley CB, Vice Chair and Head of Energy and Natural Resources at KPMG, said:

“A further drop in the price cap will bring some relief ahead of winter, but the reality is that prices remain higher than the long-term average. According to our latest consumer pulse polling utility bills are still the biggest deterrent to spending and with no Government support for the majority of households this winter, many will still be feeling concerned. 

“As we head into the colder winter months, uncertainty remains around the outlook and many will be hoping for a mild winter. Current estimates are that prices could increase again in January and will remain at these higher levels for the foreseeable future. The Government and Ofgem will be hoping that there are no further supply shocks over the winter as already stretched household budgets will struggle to cope.”

 

 

-Ends-

[1] £1,834 on Ofgem’s recalculated Typical Domestic Consumption Values (dual fuel, direct debit customer) which will come in from October 2023

For further information please contact:

KPMG Media Relations

Claire Barratt

Mobile: +44 (0)7923 439264

claire.barratt@kpmg.co.uk

About KPMG UK

KPMG LLP, a UK limited liability partnership, operates from 20 offices across the UK with approximately 17,000 partners and staff. The UK firm recorded a revenue of £2.72 billion in the year ended 30 September 2022.  

KPMG is a global organization of independent professional services firms providing Audit, Legal, Tax and Advisory services. It operates in 143 countries and territories with more than 265,000 partners and employees working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients. 

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