Typical energy bill forecast to rise by £332 a year in July

Typical annual household energy bills could go up by £332 in July, energy consultancy Cornwall Insight calculates, although the figure is likely to change.

The forecast reflects the surge in oil and gas prices as the US-Israel war on Iran continues, and could rise further or fall back depending on where energy prices go next.

The energy regulator Ofgem will set the July cap on energy bills for households on 27 May, based on wholesale prices in March, April and May.

The cap limits what a typical dual fuel household would pay. Actual bills depend on the amount of energy used.

Cornwall Insight's latest forecast predicts that Ofgem's price cap for July to September will hit £1,973 a year, up from the current £1,641 for a typical dual fuel household.

It fixes the maximum amount customers can be charged for each unit of gas and electricity on a standard - or default - variable tariff for a typical dual-fuel household which pays by direct debit. But it is presented as a cap on the typical overall annual energy charges.