Backlash from businesses as PM vows to cap 'rip-off' energy bills

collected by :Victor Alphen

As it stated in The Prime Minister is facing a backlash from the energy sector and the country's biggest business lobby group following her pledge to cap "rip-off" bills. "That's why next week this Government will publish a draft bill to put a price cap on energy bills, meeting our manifesto promise and bringing an end to rip-off energy prices once and for all." :: Energy bills: are standard tariffs a rip-off? Two of the other biggest firms, E.ON and ScottishPower, have argued that standard tariffs should be scrapped, not capped. But Energy Secretary Greg Clark told Sky News: "What the competition authority has established is that the energy market is not working well.

Theresa May's promised energy price cap will expire in 2020

The Prime Minister's cap on energy prices to protect households from rip-off bills will be a "temporary measure", it has been revealed. In a statement to financial markets, ministers revealed their plans for a draft law to cap energy prices for those on a standard variable tariff and other default tariffs. The Competition and Markets Authority found that customers of the so-called 'big six' energy suppliers on standard variable and default energy tariffs are paying £1.4bn a year more than they need. Ofgem this week announced it is extending its existing price cap for vulnerable consumers and the Government says five million households will now, for the first time, benefit from protection against rip-off energy bills this winter. Labour's shadow business secretary, Rebecca Long-Bailey, described an energy price cap as a "suitable temporary measure" but claimed "the market as a whole needs to be reformed".

No energy bill price cap this winter, Ofgem says

according to Image copyright Getty ImagesA price cap on energy bills proposed by the prime minister last week is unlikely to take effect before winter. Last week Business Secretary Greg Clark said a gas and electricity price cap could be imposed as early as this winter should Ofgem decide to use its powers. A Department for Business spokesperson said draft legislation on an energy price cap for default tariffs would be introduced this week. Rebecca Long-Bailey, Labour's shadow business secretary, said legislation must force the regulator to implement a price cap. One million households who get the Warm Home Discount will see an energy price cap from February - an extension of the cap already in place for prepayment meter customers.