Energy price cap: the cost of your coffee could be about to go up

By Giray Gozgor, Associate Professor of Economics & Finance, School of Management, University of Bradford
Erhan Kilincarslan, Reader in Accounting and Finance, University of Huddersfield

This autumn, the cost of gas and electricity for a typical UK household is expected to rise from £1,663 to £1,723 a year.

The change, due to higher wholesale gas prices, will be easy enough to spot on a household bill. But those rising costs can also affect people in less obvious ways, through the price of a coffee, for example, or a pub lunch or haircut.

That’s because the energy price cap – which limits the unit rates suppliers can charge – applies only to households…

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