Households on the energy price cap will see a 7% reduction in their average annual payments from 1 July, Ofgem has confirmed. Ofgem's Tim Jarvis urged households on the price cap to "shop around" for savings as there are "better deals out there" despite the reduction in the default tariff. Report by Kennedyl. Like us on Facebook at http://www.facebook.com/itn and follow us on Twitter at http://twitter.com/itn
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00:00So what we've announced today is a reduction in the price cap from July for the three-month period from July of around 7%.
00:07So that's the equivalent of around £129 off the average bill.
00:12And the reason for that decrease is a decrease in the international wholesale price of gas,
00:17which is still what largely determines the prices that we pay in this country at the moment.
00:22So it's obviously a welcome decrease. We've had a lot of increases recently, as people know.
00:26But prices are still high compared to historical norms.
00:30And so we're doing everything we can to ensure that we're protecting consumers through this period.
00:35So for those customers who are on fixed rate deals, they won't see any change.
00:41And I think for those that aren't, I would always sort of recommend looking into those deals.
00:47They are generally lower than the price cap. It is a cap, so you don't have to pay the cap.
00:52And there are deals on the market around £150 to £200 a year cheaper.
00:57So shop around, talk to your supplier, see what's available.
01:01And the other thing I would say to people is make sure you're paying for your energy in the cheapest way possible.