Households face higher energy bills as £28bn grid upgrade gets go-ahead
NegativeFinancial Markets
- Households in Great Britain are set to face increased energy bills as Ofgem has approved a £28 billion investment to upgrade the gas and electricity grids, which is expected to add approximately £30 to the average annual bill. This spending plan includes over £17.8 billion allocated for gas transmission and distribution networks over the next five years, starting from April 2026.
- This significant investment aims to modernize the energy infrastructure, potentially enhancing reliability and efficiency in the long term. However, the immediate impact on consumers is a concern, as many are already grappling with rising living costs and financial pressures.
- The approval of this upgrade comes amid a backdrop of fluctuating energy prices, with recent announcements indicating a 0.2% increase in the energy price cap for January. While some forecasts suggested a decrease in the price cap, the looming higher bills reflect ongoing volatility in the energy market and the challenges faced by consumers in managing their energy expenses.
— via World Pulse Now AI Editorial System
