New forecasts from consultancy Cornwall Insight predict that the latest renewables auction will increase the typical household energy bill by approximately £4.59 by 2030-31.
This projection follows the conclusion of the Sixth Contracts for Difference (CfD) auction, which secured 9.6GW of renewable capacity through 131 projects.
The auction set strike prices for renewable energy projects below the maximum allowed, with offshore wind prices 19% under the cap.
This means that, while the scheme will slightly raise household bills, it aims to provide more stable energy prices by reducing dependence on international energy markets.
The forecasted cost increase, projected to start in 2027-2028, reflects the impact of the new CfD strike prices.
As larger offshore wind projects come online in subsequent years, costs may rise further.
Previous estimates, such as those reported by the Telegraph, suggested a much higher impact on bills, around £150.
However, the latest data indicates a much smaller increase.
