Energy bills will rise by £200 in July to nearly £1,900 a year, forecast says

Households in Great Britain face an annual energy bill increase of over £200 starting in July, with a typical forecast rising to £1,850, according to consultancy analysis^[1][2].

The expected rise of nearly 13% is up from the £1,641 quarterly price cap set for April to June^[1][2]. The main driver is rising wholesale energy prices, which climbed sharply after Iran closed the Strait of Hormuz earlier this year^[1][2]. A temporary ceasefire allowed markets to retreat from historic highs recorded in March, but prices have remained elevated^[1]. The UK Chancellor is expected to unveil cost-of-living measures, which may include scrapping a planned fuel duty increase^[2]. Craig Lowrey, a principal consultant at Cornwall Insight, stated that if the cap stays at a similar level, the government will need to consider targeted support for the most vulnerable^[1]. He added that expanding renewable capacity is the only path to bills less exposed to distant geopolitical events^[1].