Energy price cap: additional debt costs review decision

We asked for views and feedback on our proposals in the December 2023 consultation on making a temporary adjustment to the cap to allow for additional debt related costs incurred across industry between April 2022 and March 2024.

We have decided to apply a temporary adjustment to the price cap. Initially we will set a float adjustment which will apply to the price cap from 1 April 2024, for 12 months. We aim to deliver a true-up process by April 2025. We have also decided on a benchmarking approach for debt-related costs, and our associated considerations.