BRIEF-Ofgem Lowers Price Cap To 1,690 Stg

OFGEM: * OFGEM ANNOUNCES SIGNIFICANT FALL IN PRICE CAP

* SAYS PRICE CAP WILL FALL BY 12.3% ON PREVIOUS QUARTER FROM 1 APRIL TO 30 JUNE 2024 * FOR AVERAGE HOUSEHOLD PAYING BY DIRECT DEBIT FOR DUAL FUEL THIS EQUATES TO £1,690, DROP OF £238 OVER COURSE OF A YEAR - SAVING AROUND £20 A MONTH

* WILL SEE ENERGY PRICES REACH THEIR LOWEST LEVEL SINCE RUSSIA'S INVASION OF UKRAINE IN FEBRUARY 2022 * PRICE CAP DROP TO ITS LOWEST LEVEL IN MORE THAN TWO YEARS

* WILL ALLOW TEMPORARY ADDITIONAL PAYMENT OF £28 PER YEAR TO MAKE SURE SUPPLIERS HAVE SUFFICIENT FUNDS TO SUPPORT CUSTOMERS WHO ARE STRUGGLING * PLANS TO MAINTAIN EQUALISATION OF STANDING CHARGES ACROSS PAYMENT METHODS SO CUSTOMERS ARE NOT CHARGED MORE DEPENDING ON PAYMENT METHOD

* PUBLISHING A DECISION TO EXTEND THE BAN ON ACQUISITION-ONLY TARIFFS (BAT) FOR ANOTHER 12 MONTHS * A DECISION NOT TO CHANGE WHOLESALE COST ALLOWANCES FOLLOWING A REVIEW CONDUCTED IN LATE 2023.

* CONFIRMATION OF THE LEVELISATION OF STANDING CHARGES TO REMOVE THE ‘PPM PREMIUM’ PREVIOUSLY INCURRED BY PREPAYMENT CUSTOMERS. * DECISION TO ALLOW A TEMPORARY ADJUSTMENT TO THE PRICE CAP TO ADDRESS SUPPLIER COSTS RELATED TO INCREASED LEVELS OF BAD DEBT

* CONFIRMATION OF THE END OF THE MARKET STABILISATION CHARGE (MSC) FROM APRIL 1 Source text for Eikon: Further company coverage: [ ]