Dermot Nolan, chief executive of Ofgem, told the BBC that domestic
gas and electricity prices should be cheaper "for the vast majority of
people".
Wholesale energy costs make up nearly half of a domestic
bill, and have fallen by about a third in the last 12 to 18 months, he
said.
Yet, prices had not fallen, he added.
Energy UK, which
represents the major energy energy companies, insisted that there was a
competitive market of 34 suppliers and that people should switch for
savings of hundreds of pounds.
