The price cap from 1 October to 31 December 2026
Ofgem limits what suppliers can charge for each unit of energy and for the daily standing charge. These are the average rates for England, Scotland and Wales if you pay by Direct Debit.
| Electricity | 26.32p per kWh, plus 54.83p a day |
|---|---|
| Gas | 7.97p per kWh, plus 29.68p a day |
| Typical home, a year | £1,723 |
The typical home uses 2,500 kWh of electricity and 9,500 kWh of gas a year. There’s no VAT on electricity from 1 October 2026 to 31 March 2027.
What happens in January?
Ofgem announces the cap for 1 January to 31 March 2027 on 25 November 2026. Until then, nobody knows the exact figure. In September, the energy consultancy Cornwall Insight forecast a rise of about 16%, to £1,999 a year for a typical home. We’ll update this calculator with Ofgem’s figures as soon as they’re announced.
Worked example
Priya’s yearly statement says she uses 2,500 kWh of electricity and 9,500 kWh of gas.
| Electricity: 2,500 kWh × 26.32p + 365 days × 54.83p | £858 |
|---|---|
| Gas: 9,500 kWh × 7.97p + 365 days × 29.68p | £866 |
| Her year at today’s prices | £1,724, about £144 a month |
Where to find your usage
Look for “kWh” on your bill, your yearly statement or your supplier’s app. It’s often shown as “estimated annual consumption”. If you can’t find it, leave our typical figures in: they’re the ones Ofgem uses.
Struggling with your energy bills?
Your supplier has to help if you’re having trouble paying. Citizens Advice can help you talk to them for free.
Get free help from Citizens AdviceQuestions
Does the price cap limit my whole bill?
No. It limits the price of each unit and the daily standing charge. The more you use, the more you pay.
Does it apply to fixed tariffs?
No. The cap applies to standard variable tariffs. If you’re on a fixed deal, your rates stay the same until it ends.
Why are my figures different from my bill?
Standing charges vary by region, and prepayment and paying on receipt of a bill have slightly different rates. This calculator uses the average Direct Debit rates.