Save on your energy bills with The Spectator – and help fix the broken market

In a healthy, competitive market, prices go down when costs go down. Not in the energy market. As Ofgem announced this week, the wholesale cost of gas and electricity has dropped by more than a third since this time last year, but our bills have increased. Wholesale power is the cheapest it’s been since 2010, so why haven’t the savings been passed onto consumers?

The energy industry usually blames price rises on increasing wholesale costs, so the announcement those costs are going down is tricky for them. This week Energy UK, the Big Six trade body, said: ‘Wholesale energy is just one of a number of costs outside of an energy company’s control, which make up a household bill’.

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