Forecasts for the default tariff cap in April 2024 indicate a 14% decrease, with a typical dual fuel consumer expected to pay £1,660 annually, reflecting a £268 reduction from January bills.
This downward trend is anticipated to continue, reaching £1,590 in July before a slight increase to £1,640 in October, according to Cornwall Insight.
The decline in wholesale energy prices since mid-November has been a key driver behind this anticipated drop in the price cap.
Despite initial concerns, events such as the Israel-Hamas conflict and potential LNG production strikes in Australia have not significantly impacted energy supplies.
Factors like the absence of major pipeline disruptions and a mild winter have kept European gas-in-store levels above expectations, contributing to the decrease in wholesale prices.
