Energy price cap has increased to £1,862 but home solar panels with batteries could knock 44% off annual energy bills
As Ofgem announces higher energy bills from July, households could save £823 a year by installing solar panels and batteries on their homes, according to analysis from the New Economics Foundation (NEF), out today. Energy bills are due to rise, but almost 44% of an annual energy bill under the price cap could be avoided with the installation of home solar power.
Yesterday Ofgem announced that from July the energy price cap will increase by over £200, from £1,641 to £1,862 a year. Energy bills will rise due to fossil-fuel supply being disrupted by the US war on Iran and the closure of the Strait of Hormuz.
Solar and Battery Eco-system (Image: Fox-ESS.com)
But today’s analysis shows that installation of home renewables like solar power, backed by batteries and smart tariffs, can significantly soften the blow of higher energy bills to the tune of hundreds of pounds a year. However, the installation of these technologies can run up to £10,000 for a typical household, meaning it is out of reach for many.
Read more: New Economics
