Energy grid investment of £28bn to push up household bills

Household energy bills will rise to help fund a £28bn investment in the UK's energy network.

Energy regulator Ofgem has approved the funding in a five-year plan to improve electricity and gas grids. The money will go towards maintaining gas networks and strengthening the electricity transmission network.

The work is estimated to add £108 to energy bills by 2031.

But Ofgem said people would end up saving about £80 more than they otherwise would, as the investment will help lower the reliance on imported gas and make wholesale energy cheaper, leading to a net energy bill rise of about £30 a year.

Companies that run energy networks - including power lines, cables and gas pipes - are separate from suppliers.

This plan sets the framework for how they deliver a safe and secure supply, and the cost controls they face for five years, from next year.

Ofgem chief executive Jonathan Brearley said the investment "will keep Britain's energy network among the safest, most secure and resilient in the world".