UK Energy Prices Are Down, But Consumers Still Face Higher Bills

British households are heading into a new kind of energy crisis: bills are rising even as wholesale power and gas prices are falling.

The growing gap is adding to the government’s political headache as it seeks billions of pounds for the clean-energy transition and tries to convince voters it will lower electricity costs. With UK Chancellor Rachel Reeves preparing her budget for later this month – amid expectations of broad tax hikes – ministers are under pressure to explain why consumers face higher costs at a time when global energy markets are easing.