SQUEEZED households will get some relief today as energy bills are expected to fall by almost £300 a year.
The financial boost comes amid fresh signals that Britain has already recovered from the mini-recession.
Energy regulator Ofgem is set to announce its latest price cap, with average bills expected to fall from £1,928 a year to £1,656 from April.
Analysts Cornwall Insight say this will remain the case for the rest of 2024, although the amount a home pays is determined by the amount of gas and electricity it uses.
Bills shot up from just over £1,000 to £2,500 last year after Russia’s invasion of Ukraine sparked a Euro energy crisis.
Some households will still pay more than they did then as the Government’s £500 support fund has been withdrawn.
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The price cap adjustment includes an extra £16 to help large businesses cover bad debts from customers who have not paid.
Meanwhile, a closely watched economic survey yesterday showed business activity is growing.
Private companies’ production is reportedly at its highest level in nine months.
Chris Williamson, chief business economist at S&P Global Market Intelligence, said this suggests “the UK recession is already over”.
Last week, figures showed the economy shrank for two quarters in a row, marking a technical recession.
But even the Bank of England’s usually gloomy governor, Andrew Bailey, claimed the economy was recovering.
And Mr Williamson said the recovery was driven by expectations of a rate cut, easing pressure on businesses and borrowers.