Millions of people across the UK will see their energy bill soar by 1.2 percent from next year, after Ofgem announced its new price cap - and we want to hear your thoughts. The average dual household, paying by direct debit, will fork out £1,738 on their annual bill from January 1 - an increase of £21 from the October to December cap of £1,717. The latest announcement marks the second increase in energy bills in recent months, after the price cap soared by 10 percent in October - up by around £149. The price cap sets the maximum rate energy firms can charge per kilowatt (kWh) hour for gas and electricity households use, along with standing charges. Standing charges are what you have to pay no matter how much energy you use. The price cap covers 26 million households across Britain, and is updated every three months, meaning the new rates will remain in place until March. Tim Jarvis, director general of markets at Ofgem, said: "While today’s change means the cap has remained relatively stable, we understand that the cost of energy remains a challenge for too many households. "However, with more tariffs coming into the market, there are ways for customers to bring their bill down so please shop around and look at all the options." Cornwall Insight analysts told the BBC that high domestic energy prices are likely to be “the new normal” due to "geopolitical tensions, bad weather and maintenance taking place on Norwegian gas infrastructure".
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