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Thursday newspaper round-up: Ofgem, pensions, Bulb, Purplebricks

By Michele Maatouk

The energy regulator Ofgem has said its price cap will reach £4,279 from January – but households will be shielded by the government’s emergency intervention to keep a lid on bills. Ofgem said the cap, which is adjusted every quarter, will increase by £730 for the three months from the start of next year. However, the government’s energy price guarantee (EPG) will limit typical household bills to £2,500. Analysts had expected the cap to sit at about £4,200. – Guardian
Pensions experts have told MPs they were “absolutely shocked” at the level of “hidden” borrowing across UK pensions schemes, which nearly toppled some funds during the bond market crisis in September and forced cash-strapped trustees to sell up to £500bn in assets. Speaking to politicians on the work and pensions committee on Wednesday, academics and pensions experts laid bare the risks that certain kinds of liability-driven investing, or LDI, posed for retirement savings. – Guardian

Rishi Sunak has abandoned plans to give ministers the power to overrule City regulators in a major climbdown by the Prime Minister. Andrew Griffith, the City minister, said the Government has decided not to proceed with a so-called “call-in” power in a move that will be seen as Mr Sunak bowing to pressure from the Bank of England and the Financial Conduct Authority (FCA). – Telegraph

The government has been criticised by MPs over the “secrecy” attached to the cost of bailing out Bulb. The Treasury select committee yesterday told Jeremy Hunt, the chancellor, to provide details on why running the failed energy supplier is expected to add more than £200 to energy bills for every UK household. – The Times

Shareholders in Purplebricks will vote on whether to oust the hybrid estate agent’s long-term chairman in the week before Christmas after an activist investor forced a general meeting. Lecram Holdings, which has built a 5.2 per cent stake in Purplebricks this year, has been agitating for the removal of Paul Pindar since the summer. – The Times

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