UK Energy Bills to Rise Again in January

Energy bills in the UK are expected to rise by 1% from January 1, increasing the typical household's annual cost from £1,717 to £1,736, according to Cornwall Insight, a reputable energy consultancy. This comes after a 10% hike in October, contradicting earlier predictions of a price drop. The rise is attributed to persistent high wholesale costs driven by geopolitical tensions and supply issues related to the Ukraine conflict, as well as maintenance disruptions in Norwegian gas infrastructure. Ofgem is set to announce the new price cap on Friday, which will affect around 28 million households. The price cap limits the amount suppliers can charge per unit of energy, but not the total bill, meaning actual costs will vary based on usage. The long-term solution may involve transitioning to renewable energy, as high prices are expected to persist for the foreseeable future.