UK gas prices set to push up energy bills again

Energy bills in the United Kingdom, which had been rising again before winter, will increase again at the beginning of April, by 6.4%, due to the price of gas on international markets, the sector regulator (Ofgem) warned on Tuesday.

"Our reliance on volatile international gas markets has driven up wholesale prices and continues to impact household bills," Ofgem said in a statement.

Consequence: after a 10% increase in October and another 1.2% in January, the capped gas and electricity bill for an average household will increase again on April 1, which will translate into "an increase of 111 pounds (134 euros) per year for an average household", specified the regulator. The latter sets the energy price cap each quarter, supposed to take into account developments on international markets and guarantee the most suitable price for both suppliers and consumers.

The invasion of Ukraine by Russia, the world's second-largest producer of natural gas, had pushed prices to record highs in 2022, before they fell back - but they are still at structurally higher levels than before the start of the war. Europe, which has gradually turned to other suppliers, notably via liquefied natural gas transported by LNG tankers , has been particularly marked by the rise in prices. The price of European gas peaked two weeks ago at a two-year high, marked by a depletion of gas reserves on the continent, before falling on hopes of a possible peace agreement in Ukraine.

In a country still heavily dependent on gas, British households "are already facing exorbitant bills" and Tuesday's announcement "will further increase the burden on the most vulnerable", warned Adam Scorer, director of the energy poverty charity NEA, in a statement.

Acknowledging "worrying news for many families", Energy Minister Ed Miliband said he was "determined to do everything in his power", including increasing aid for the most vulnerable and working twice as hard to develop "clean" energy.