Prices and tariffs · Bills
How to read an energy bill
Most bills follow the same pattern: readings, the energy used, what it costs, and how that compares with what you have paid. Check each part in turn.
Updated 2 October 2026 · energy.org.uk editorial team
Check
What to check first
- The reading type. Each reading is marked actual, smart or estimated. Estimated readings are the most common cause of a surprising bill.
- The dates. The bill covers a period between two readings. A longer period costs more.
- The units. Electricity is measured in kWh. Gas meters measure volume, which the bill converts to kWh using a calorific value: see gas meter readings to kWh.
- The unit rate, in pence per kWh, and the standing charge, in pence per day, for each fuel.
- VAT. Domestic energy is charged VAT at 5%; check whether figures are shown before or after it.
- Your balance. Credit or debt carried from earlier bills, and what you have paid by Direct Debit.
The parts of a bill
| Part | What it tells you |
|---|---|
| Meter readings | The previous and latest readings, and whether each was actual, smart or estimated |
| Energy used | The difference between readings, in kWh (gas converted from m³ or ft³) |
| Energy charge | kWh × unit rate |
| Standing charge | Days in the period × daily charge |
| VAT | 5% on domestic energy |
| Balance | What you owe or are owed after payments |
| Tariff details | Tariff name, end date, exit fees, and your yearly estimate |
Do
Practical next steps
- If a reading was estimated, take an actual reading and send it to your supplier.
- Check the sums with the meter reading calculator.
- Compare your unit rates with the price cap for your region.
- If your Direct Debit seems out of line, use the Direct Debit check.
Take care
Important limitations
- Layouts differ between suppliers; the information is the same.
- Some smart and time-of-use tariffs show several unit rates for different times of day.
Related tools and guides
Sources
Official sources checked 2 October 2026.