The new Prime Minister recently announced that there is going to be an energy Price Cap which will last for the next two years. <\/p>\n\n\n\n
What does this mean?<\/strong><\/p>\n\n\n\n It means that the variable tariff and standing charge which providers apply to their customers is capped. In other words there is an upper price limit above which the providers cannot go. This figure is also significantly under the actual wholesale cost of energy to the providers. <\/p>\n\n\n\n What effect does that have on the consumer?<\/strong><\/p>\n\n\n\n This means that every customer must pay that tariff on the units they use as well as the standing charge. Consequently the more energy you use the more money you will have to pay. Conversely if you are a low user you will pay less.<\/p>\n\n\n\n Remember you still have to pay for what you use, the more you use - the more you pay.<\/strong><\/p>\n\n\n\n What is doesn\u2019t mean!!<\/strong><\/p>\n\n\n\n The figure of \u00a32,500 as quoted by the PM is what an average home will be paying instead of the much higher figure quoted by Ofgem earlier this year. <\/p>\n\n\n\n This is NOT a price above which no one will pay.<\/p>\n\n\n\n Great deals still available to new customers<\/p>\n\n\n\n UW are still offering new multi service customers 5% discount on the price cap as well as all the other benefits they offer.<\/p>\n\n\n\n