A regular family in Liverpool pays £84 more for the equal amount of energy than one in Newcastle.
It is one of the quirks of the energy fee cap, that’s in reality a series of local caps. Those who pay over the country wide average include people living in London, southern England, Wales and Merseyside. The price-of-living crisis means the price cap is the amount many families presently pay, except they’re on a set deal. It is set through regulator Ofgem, which takes into consideration the price of transporting gas and electricity to people’s homes.
This is a more expensive enterprise in a few components of Britain than others, so Ofgem sets local caps for special regions. The fee cap for the ‘regular’ consumer, that’s then published, is without a doubt a mean of those regional rates. Currently, the highest fee is paid through people in North Wales and Mersey, at £2,0.5 a year for a regular family. They pay £84 a year more than the ones in the ‘Northern’ power region, which covers North-East England, and has Britain’s lowest payments at £1,931. The average for Great Britain is £1,971.
From October, the fee cap is ready to rise to a staggering £3,549 on common, with the ones in North Wales and Mersey set to pay £3,615 – a full £121 a year greater than the ones in the North East. New Prime Minister Liz Truss is predicted to announce a freezing of the power fee cap to help people with crippling bills this winter, however the info of the scheme are yet to be announced.
How a lot is the power fee cap in my region?
Here are the current fee caps for every region of Great Britain for a typical consumer, that’s primarily based totally on a person with regular power usage on a twin gasoline tariff paying through Direct Debit. If you aren’t certain which power region you stay in, you may test the use of this postcode tool.
North West £1,948
Northern Scotland £1,972
Southern Scotland £1,968
N Wales and Mersey £2,0.5
South East £1,985
East Midlands £1,938
Southern Western £2,009
South Wales £1,989
GB common £1,971
And right here is what the costs can be from October 1, except any adjustments are made to the energy fee cap in the meantime.
North West: £3,521
Northern Scotland: £3,531
Southern Scotland: £3,550
N Wales and Mersey: £3,615
South East: £3,568
East Midlands: £3,506
Southern Western: £3,578
South Wales: £3,565
GB common: £3,549
People in northern Scotland pay an amount very near the British average, at the same time as people in southern Scotland, Midlands, East of England, Yorkshire, the North East and lots of the North West experience decrease than common payments.
Why is the cost of electricity and gas different throughout the country?
Some regions of Britain are more expensive to get strength to, while others are more expensive to get gas to.
Transmission and distribution are the 2 levels of having energy to people’s homes. For example, with electricity, transmission includes getting energy from the source to nearby sub-stations, while distribution then feeds this energy into individual homes.
According to Ofgem, electricity and gas transmission fees are better in the south of England and lower in Scotland. Electricity distribution fees are better in North Scotland, Merseyside and North Wales and the south-west of England. They are lower in London and Eastern England. Gas distribution fees are better in London and the south of England and lower in Scotland and the north-east of England.
Do any regions get help with the price of transporting energy?
The north of Scotland gets help with the excessive price of distributing electricity in the area, via a unique scheme. A rate on all suppliers is passed on to Scottish Hydro Electric Power Distribution Ltd, so distribution fees in the North of Scotland may be reduced. This scheme protects customers in the North of Scotland from the excessive fees of electricity distribution in that area. The UK government has launched a consultation proposing the arrangement be continued.