- Octopus Energy has urged the incoming prime minister to overhaul Britain's energy market, proposing reforms that could save a typical household up to £114 annually and businesses £6 billion a year.
- The energy provider also suggested shifting energy levies into general taxation, which could further reduce electricity bills for households by £75 a year, with higher earners contributing more.
- These proposed reforms aim to address the current inefficient system where expensive gas often dictates prices, even when cheaper renewable energy is available, leading to wind farms being switched off.
- Octopus Energy warned that the current market inefficiencies added £1.5 billion to household bills last year and could escalate to £10 billion annually by 2030 if no changes are implemented.
- The company estimates that comprehensive market reform, including unlocking smart grid flexibility, could lead to total savings of up to £83 billion by 2050, though it cautioned that such changes would take two years to implement.
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