The energy secretary has asked Big Six firms not to challenge the price cap

collected by :Victor Alphen

as mentioned in Courtney GoldsmithThe energy secretary has asked Big Six energy firms not to block the passage of new legislation for a price cap on default energy tariffs. The Business, Energy and Industrial Strategy (Beis) select committee backed the introduction of an energy price cap following an extensive review. Centrica last week said political and regulatory intervention in the UK energy market had caused uncertainty around the company. Although the level of the price cap is unknown, analysts at RBC Capital Markets said forecasting a cap of around £1,050 would imply a hit to Centrica's earnings before interest and tax of about £150m. Read more: New powers to cap energy tariffs are being pushed through parliament

Government to enforce energy price cap on 'poor-value' tariffs

Legislation designed to cap "poor-value" energy tariffs for 11 million British households will be introduced in Parliament on Monday, the Government has announced. Legislation designed to cap "poor-value" energy tariffs for 11 million British households will be introduced in Parliament on Monday, the Government has announced. The Domestic Gas and Electricity (Tariff Cap) Bill would allow Ofgem to limit tariffs until 2020, with the option to extend the cap annually until 2023. "Our energy price cap will cut bills for millions of families. "It's essential that protections from overcharging remain in place for vulnerable energy customers after the cap is lifted.

Move to cap 'rip-off' energy bills

As it stated in The law will allow energy regulator Ofgem to limit how much companies can charge customers for their standard variable tariffs. The law will limit the cost of firm's standard default tariffs until 2020. One million households who get the Warm Home Discount saw an energy price cap introduced in February - an extension of the cap already in place for prepayment meter customers. Prime Minister Theresa May said: "It's often older people or those on low incomes who are stuck on rip-off energy tariffs, so today we are introducing legislation to force energy companies to change their ways." The firm said the prospect of an energy price cap was part of the reason for the lay-offs.