The United Kingdom has the highest price (including taxes and levies) for domestic electricity out of 25 International Energy Agency (IEA) countries reporting in 2023. Similarly, the UK has the highest price (including taxes and levies) for industrial electricity out of 24 IEA countries, again reporting in 2023.59 The price of the UK’s electricity is almost four times that of its gas. This is partly because the government’s levy for environmental policy costs (such as schemes to support renew...

The United Kingdom has the highest price (including taxes and levies) for domestic electricity out of 25 International Energy Agency (IEA) countries reporting in 2023. Similarly, the UK has the highest price (including taxes and levies) for industrial electricity out of 24 IEA countries, again reporting in 2023.59 The price of the UK’s electricity is almost four times that of its gas. This is partly because the government’s levy for environmental policy costs (such as schemes to support renewable energy development) accounts for over 10% of an electricity bill.60 Type: conclusion | Number: 21 | Response status: not_addressed Government response: 5.1 The government agrees with the Committee’s recommendation. Target implementation date: July 2025 5.2 The UK has a particularly high ratio of residential electricity price to gas price compared to many countries in Europe. The UK’s electricity price does not reflect the cheaper wholesale price of