Household energy bills will remain inflated for a decade, according to KPMG.
Bills are expected to remain high for the next five to 10 years because of a combination of high gas prices and net zero transitioning.
Ministers have set 2050 as the target year for the UK to be producing zero emissions but have been warned by experts that cutting fossil fuel supplies suddenly can risk a fresh surge in prices.
The Big Four accountant said energy bills were likely to remain around 93% higher over the next decade than in the two years before Russia’s invasion of Ukraine, which fuelled a surge in wholesale gas prices.
Energy bills are expected to drop in July, with the Ofgem cap expected to fall to £1,981 from the current level of £4,279, according to an analysis from Investec.
Yael Selfin, the chief economist at KPMG, expects the price cap to stay at that level, however, or nearly double the cap in February 2020 of £1,042.