Firstly, Ofgem has decided to roll the prepayment meter cap into the default tariff price cap. This price protection for prepayment meter customers will continue as long as the price cap is in place. The existing prepayment meter cap expires at the end of 2020.

Ofgem has also updated values for the smart meter net cost allowance and added an adjustment allowance for the cost of wholesale energy in the first cap period.

The regulator will set out the total impact on customers when it updates the price cap level for the October 2020 - March 2021 period on August 7.

Ofgem has a statutory requirement to publish these decisions no later than today to allow 56 days’ notice before they take effect for October 1. The price cap ensures that customers pay a fairer price for their energy.