“Everybody’s electricity prices are going to go up,” said Rich Powell, CEO of trade group the Clean Energy Buyers Association. “I think people have in their minds that gas is a cheap way to generate power. New build natural gas is not a cheap way to generate electricity.”

But Ofgem revealed households are set to see bills surge by £104 by 2031 to cover the cost of the extra investment. The regulator said this will include £30 for gas networks and £74 for the electricity grid. It said that bills would be even higher – around £30 more – without the investment.

Here's an explanation of the new Ofgem energy price cap and how your bill will be affected from Tuesday, July 1