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The Express Gazette
Monday, February 23, 2026

Energy price cap rises to £1,755 for typical UK household

Ofgem adjusts tariffs as bills depend on usage; prepayment rates shift; standing charges under scrutiny

Business & Markets 5 months ago
Energy price cap rises to £1,755 for typical UK household

The energy price cap will rise again on 1 October, setting the typical dual-fuel, direct-debit household's annual bill at £1,755 — up £35 from the cap that applied from July to September, Ofgem said.

The cap, which applies to roughly 20 million households in England, Wales and Scotland, limits the price per unit of gas and electricity charged on a standard variable tariff. It is based on a 'typical' household using 11,500 kWh of gas and 2,700 kWh of electricity a year, with a single annual bill settled by direct debit.

For the period from 1 October to 31 December 2025, gas prices are capped at 6.29 pence per kilowatt-hour and electricity at 26.35 pence per kWh. The cap does not apply in Northern Ireland, which runs its own energy market.

The cap's definition of a typical household means actual bills vary with weather, energy efficiency, how many people live in the home and the type of property. It is designed to benchmark costs but does not guarantee a specific bill for any individual household.

If you have a meter that is not smart, submitting a reading when the cap changes helps avoid being charged on an estimate. Customers with working smart meters do not need to read manually.

About six million households rely on prepayment meters. From 1 October, the typical annual bill for prepayment customers will be £1,707.

Fixed-price deals are not affected by the cap; they offer price certainty for a set period, often a year or longer, but leaving a fixed deal early may incur penalties if prices fall.

Standing charges will typically be 53.68p per day for electricity and 34.03p per day for gas from October. Ofgem says it intends by January 2026 to require at least one tariff per supplier with a low standing charge but a higher per-unit cost to give customers more choice; campaigners and the suppliers' trade body criticized the plan as shifting costs rather than reducing them.

To find the best deal, Ofgem advises that customers use whole-market price comparison sites; Martin Lewis, founder of MoneySavingExpert, has recommended shopping around.

Consumers should note that the energy cap does not apply in Northern Ireland, where consumers are subject to a separate regime.

Energy price cap infographic


Sources