British household energy bills are forecast to be lower than previously anticipated in 2023, dropping below the level of the government’s price guarantee in the second half of the year.
Analysts have sharply reduced their estimates for domestic energy bills after unseasonably warm weather across Europe in recent weeks has led to lower gas usage on the continent.
Martin Young of Investec bank, who has a record of accurately predicting the level of the price cap that dictates energy bills for the majority of British households, said he anticipates the cap to reduce to about £3,460 a year in April based on typical usage, dropping to £2,640 a year in July and hitting just over £2,700 in October.
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