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Minister confirms support package may be offered as experts predict energy price cap to rise by £288 in July

From tomorrow the Ofgem price cap goes down from £1,758 to £1,641. The government is highlighting this as one of its cost of living support measures, because the cap is coming down as a result of decisions taken in the budget.

Here is a chart from Ofgem explaining how they calculated the new figure, which will apply for three months (from 1 April to 30 June).

Trump says countries ‘like UK’ should go to strait of Hormuz and ‘just take fuel’ – UK politics live
Ofgem price cap figures Photograph: Ofgem

It is important to stress what the price cap actually is. It is not a cap on the amount people will pay for their energy. Many people (around 50%, to be more precise) will pay more, because the cap applies to what can be charged for units of energy, not the overall bill. The Ofgem headline figure is the amount an average household would pay assuming typical household useage.

And it only lasts for three months. There will be a new figure for July to September and this morning Cornwall Insight, an energy consultancy whose price cap forecasts are widely respected in the industry, is predicting that for Q3 the cap will rise to £1,929. That is an increase of £288, or 18%, on April’s cap.

Craig Lowrey, principal consultant at Cornwall Insight, said:

double quotation markA rise in July is pretty much unavoidable, but how high prices go remains to be seen.

There is some relief in the timing, summer is when energy demand is at its lowest, which should soften the impact on household energy expenditure.

If higher wholesale prices continue, it will be the effects on the October cap that have the most impact, and that is when the question of government support for households is likely to be revisited.

In response, Martin McCluskey, an energy minister, confirmed that the government was willing to intervene to help some consumers with energy costs if necessary. He said.

double quotation markTackling the affordability crisis is our number one priority and I know many families will be thinking about how events in the Middle East might impact the cost of living at home.

We will continue to fight people’s corner through this crisis and, as the energy secretary has said, if it’s necessary to intervene, we will.

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Zack Polanski says Greens could be ‘kingmakers’ in Senedd after election because they are likely to hold balance of power

Zack Polanski, the Green party leader, has said that his party could be the “kingmakers” in the Senedd after the election because they are likely to hold the balance of power.

Speaking at the launch of his party’s campaign in Wales, Polanski said:

double quotation markThe Greens could be the kingmakers at this election.

What does that mean? That means we know there will be a new government in Cardiff Bay.

What the colour of that government looks like, and the mix is ultimately up to the voters, but we’re being very clear – every single Green that is elected to the Senedd will be a Green in those negotiations.

A YouGov MRP poll released last week suggests that Plaid Cymru will be the biggest party in the Senedd after the election (with 43 seats), but that to have a majority (49 seats) it will need the support of either Labour (on 12 seats, the poll predicts) or the Greens (10 seats).

These figures seem to imply that a Plaid/Labour deal of some sort would be just as appealing to Plaid as a Plaid/Green deal.

But Plaid are closer to the Greens on policy than they are to Labour. Even though Plaid has in the past been in coalition with Labour, and supported Labour in a cooperation deal, there is some acrimony in the relationship. And Plaid are promising “change” after 27-years of Labour-led government since devolution, and governing with Labour would make them look more like a continuity administration.

Anthony Slaughter, leader of the Greens in Wales, said Green MSs would be deciding the direction of the next Welsh government and said the party was “already shifting” Plaid Cymru’s position on some policy matters.

Left to right: Green Party leader Zack Polanski, Wales Green Party leader Anthony Slaughter and Senedd candidate Tessa Marshall at the launch of the Wales Green Party election campaign at West Canal Wharf in Cardiff. Photograph: Ben Birchall/PA
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