HOUSEHOLDS face higher energy bills under an EU deal that limits Britain’s ability to change its Net Zero rules, experts warn.

Sir Keir Starmer has agreed to hook the UK into the EU’s carbon market as part of his wider Brexit reset.

The move ties British firms to Brussels’ climate laws and rising pollution charges.

It makes it harder for any future government to water down green targets without triggering trade penalties.

In the UK, carbon prices spiked by six percent following recent news, with concerns they might continue rising to align with European rates. In Europe, companies fork out around €70 (£58) per ton while it costs just £51 in the UK.

An energy industry expert noted that gas power stations, which typically determine the electricity price in the UK, will now encounter increased carbon expenses, impacting all households and businesses, even those not exporting to the EU.

Shadow Energy Secretary Andrew Bowie said the link-up “leaves the door wide open for higher energy bills and new taxes on transport”.

Ex-Brexit negotiator Lord Frost also blasted the deal.

He wrote on X: “Want to weaken our Net Zero commitments? In future, only if the EU says so.”

Since coming to power last July, Labour has pushed a Net Zero policy crusade under Energy Secretary Ed Miliband.

The Government asserts this strategy will assist British exporters in evading EU-imposed taxes slated for 2026, which would affect products like steel, fertilizer, and cement from nations with less stringent climate regulations.

It also claims the link could save UK firms £770million between 2026 and 2030, by cutting trade red tape and smoothing out price shocks.

A Department for Energy Security and Net Zero spokesman said: “Forty-four different business organisations including the CBI, Make UK, and UK Steel, all backed our approach last month as crucial to preventing businesses relocating overseas and reducing costs for both UK and EU consumers.”