Energy and Environment

Energy price cap is “in every sense a useless policy”


In the Media

Sam collins quoted in the Daily Express

In the Media

Prof. Len Shackleton writes for the Daily Express

Commenting on reports Ofgem is expected to raise the energy price cap, Andy Mayer, Chief Operating Officer at free market think tank the Institute of Economic Affairs, said:

“Energy prices are linked to global markets and domestic policies. After energy consumption fell during the pandemic, demand is roaring back and energy prices are rising.

“The energy price cap can’t change underlying costs, nor does it guarantee lower bills for consumers. It is in every sense a useless policy.

“To get cheaper energy we need undistorted price signals and open markets to encourage competition, not more cosmetic tinkering.

“The Government’s job is to encourage affordable security of supply. The energy price cap is a crude attempt to second-guess the market and will continue to backfire.”


Notes to editors

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