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Energy bills in Great Britain rise by 5% as price cap increases
(www.theguardian.com)
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this post was submitted on 01 Jan 2024
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It prevents surprise bills. You know the maximum you’ll pay for the next 3 months.
So we get surprised every three months rather than every month.
That wasn't the original intent of the measure though afaik, it was to regulate third parties so they don't overcharge. Yet here we are, utilities companies charging ever higher prices and also reporting ever higher profits.