Rishi Sunak will hold a Downing Street press conference today amid the Ofgem announcement detailing the new energy price cap.
The Chancellor will address the nation in a major press conference with energy bills set to rise by as much as 50%.
His update, expected to be centred around the energy price hike will be televised on all major news channels.
The press conference is expected to begin at around 5pm.
Ofgem is set to announce how much energy bills will increase from the April in an announcement today.
🙋A question we often hear is “what is the price cap?”
— Ofgem (@ofgem) January 25, 2022
While we don't increase or decrease the price of energy, we calculate the level of the government's #EnergyPriceCap that applies to default energy tariffs.
This may affect you. See how it works📺 https://t.co/7SyVaj2ogq pic.twitter.com/4wqpvMDGpl
The energy regulator is responsible for the energy price cap which limits how much providers can charge customers on their energy bills.
Consultants Cornwall Insight predicted the price cap, set by regulator Ofgem, could rocket from £1,277 to £1,865 in April, when it is next due to change.
READ MORE: Should I fix my energy prices now?
The price cap applies to around 15 million British households who have chosen to pay for their electricity on the open market rather than under fixed-price deals.
Dr Craig Lowrey, from Cornwall Insight, said: “It is looking increasingly likely the summer default tariff cap will increase around 50 per cent to approximately £1,900 for the typical user, adding more than £600 extra on the average yearly bill.
“Assuming there is no change in the delivery of the cap, we forecast winter prices are likely to increase even more to in excess of £2,000.”
Martin Lewis calls on Rishi Sunak to do more ahead of energy price hike
The planned press conference comes as Martin Lewis calls on Chancellor Rishi Sunak and the Government to take action amid an expected 50% rise in the energy price cap.
Average energy bills are set to increase from around £1,275 to £2,000, and the MoneySavingExpert founder argued that "help has to come" for many people.
He said: "We have at least a year of extremely high prices, which is why it is incredibly important we see a form of intervention coming."
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