UK Energy Price Cap Seen Jumping 20% as Iran War Roils Market

The UK’s cap on energy prices is expected to surge 20% this summer, heaping more pressure on Prime Minister Keir Starmer to soften the blow before it lands.

The increase forecast by energy consultants Cornwall Insight Ltd. reflects recent gains in wholesale costs as the Iran war squeezes supplies from the Persian Gulf. Motorists have already seen fuel prices spike, laying bare the inflationary hit from the conflict on consumers. In the coming months, the impact will start to filter through to household bills.