Energy prices for domestic consumers have tripled over the last 20 years – that’s according to UK-based price comparison service Compare The Market, which says the average cost of electricity has increased by 193%, whilst domestic gas is up by 221%.
The organisation further noted that energy prices have outstripped that of all other goods and services across the UK economy, which collectively have increased by an average of 49%.
Compare The Market also found that approximately 15 million households have seen significant increases in monthly bills as a result of regulator Ofgem’s new price cap, which the organisation says is to blame for the prices of electricity and gas spiking by 11% and 9% respectively.
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That, in turn, represents an average annual increase of £117 for homes on a standard variable or default tariff scheme.
Peter Earl, Head of Energy at Compare The Market, said: “The cost of these essential services that allow us to heat and light our homes and cook our food, has risen exponentially over the last 20 years putting even more strain on our household budgets.
“There are many factors that drive energy prices; however, it can’t be denied that the introduction of the energy price cap has caused suppliers to push up prices even further on their standard and default tariffs, which could be adding hundreds more pounds to millions of household’s bills every month.”
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