Centrica Chief Executive Officer, Chris O’Shea, has cautioned that although energy prices have now returned to pre-invasion levels, they are still significantly higher than the long-run average.
His comments come as households in the UK prepare for a decrease in gas and electricity prices, following a drop in the price cap set by Ofgem.
From Saturday, the price cap will be reduced from £3,280 to £2,074, resulting in an average annual bill reduction of £426 for households.
However, in an interview with the BBC’s Today programme, Chris O’Shea said: “Prices are back down to pre-invasion levels, but they’re still two and a half times the long run average, and that’s really driven by supply and demand.
“So I think there’s a danger that we get complacent because last winter was ok and because prices are quite stable now.”
The fuel charity National Energy Action (NEA) has raised concerns over the imminent end of two vital government support schemes, which will leave millions of UK households in fuel poverty.
As of tomorrow, more than 20 million households will no longer receive energy bill assistance, leading to increased financial strain, according to NEA’s analysis.
The NEA emphasises that despite recent falls in retail prices, a significant portion of the population will face limited protection from Ofgem’s price cap, exacerbating the impact of the ongoing energy crisis.
