Households are predicted to see their energy bills drop below the government’s Energy Price Guarantee (EPG) from the second half of the year.

New analysis by consultancy Cornwall Insight suggests that bills are set to settle at around £2,800 a year from July.

With the EPG currently set to increase to £3,000 per year in April, if the price cap ends up below the EPG, that would mean the government support scheme will effectively become redundant from July onwards.

Recent research by Citizens Advice found that more than one in three adults said they’d find it “difficult” or “impossible” to cover even a £20 increase to their monthly outgoings.