Households across the UK may find little relief in their finances as Ofgem, the energy regulator, is expected to announce a lower energy price cap tomorrow.

Consultancy firm Cornwall Insight predicts a £446 drop in the price cap, bringing it down to £2,054 per year, largely driven by falling wholesale energy prices.

However, campaigners have warned that households struggling to meet their energy bills will derive limited benefits from the lower cap, as the government’s support programs have reached their expiration.

Since August 2021, the energy price cap has seen a sharp escalation, skyrocketing from £1,162 per year to its current level of £3,280 (briefly reaching £4,279) due to various factors, including the pandemic and Russia’s conflict in Ukraine, which inflated wholesale prices.