Cap on dual-fuel bills forecast to decrease by £22 to the equivalent of £1,733 a year for a typical household

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British households will have a brief reprieve from rising gas and electricity costs this January, before the cost of the government’s energy policies piles another £75 a year on to bills by the spring, according to a leading forecaster.

The regulator’s cap on dual-fuel bills is expected to fall by 1% from January to the equivalent of £1,733 a year for a typical household – a £22 drop – because of lower wholesale gas prices, Cornwall Insight said.