Get Ready For Yet More Energy Price Rises In The UK

Written by Paul Homewood on October 17, 2025. Posted in Current News

There’s yet another climate surcharge which will be added to British monthly electricity bills from next month

The Energy Advice Hub pulished this on September 8th:

A new non-commodity cost is set to hit business energy bills in autumn, to help fund nuclear infrastructure. Here’s our short guide to the Nuclear RAB Levy.

What is the Nuclear RAB Scheme?

The Regulated Asset Base (RAB) model has long been used in the UK to fund large-scale infrastructure such as water networks, energy grids and transport projects.

It works by allowing project developers to receive regulated payments during construction, reducing financing risk and the overall cost of capital.

The Nuclear Energy (Financing) Act 2022 made it possible to apply the model to nuclear projects. Sizewell C will be the first to proceed under this framework. The scheme is regulated by Ofgem and administered by the Low Carbon Contracts Company (LCCC), which will forecast costs and manage payments.

How will the levy work?

All suppliers are expected to pay the levy, contribute based on their market share, and most will pass the cost on to customers as a separate item on bills.

Source: energyadvicehub.org

Much has been made of the claim that it will only add a “few pounds” to your bill, but £3.455/MWh works out at a billion pounds a year, £40 for every household in the country.

They claim it will lead to lower bills eventually, once Sizewell C is built, but I will believe that when I see it!

All the evidence from Hinkley suggests that costs will keep escalating.

See more here notalotofpeopleknowthat

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