What energy costs in Britain
Official Ofgem energy price cap rates, what changes at the next cap, how prices differ by region, and what a typical household actually pays.
Current electricity and gas prices
Electricity unit rate
26.32p
per kWh, including VAT
▲ +0.21p since the Jul 26 cap
Electricity standing charge
54.83p
per day, including VAT
▼ −2.36p since the Jul 26 cap
Gas unit rate
7.97p
per kWh, including VAT
▲ +0.64p since the Jul 26 cap
Gas standing charge
29.68p
per day, including VAT
▲ +0.65p since the Jul 26 cap
Typical annual dual-fuel bill
£1,723
▲ +£60 since the Jul 26 cap
Ofgem's published figure for a household using typical amounts of energy (2,500 kWh electricity and 9,500 kWh gas a year), paying by direct debit.
Monthly breakdown
- Electricity used
- £54.84
- Gas used
- £63.07
- Standing charges (both fuels)
- £25.71
- A month
- £143.61
Annual cost divided by 12, worked out from the rates above at Ofgem's typical use. Real bills vary month to month because you use more energy in winter. Ofgem's published annual figure can differ by around £1 because of rounding.
- Cap period
- 1 Oct – 31 Dec 2026
- Payment method
- Direct Debit
- VAT
- Included (electricity 0%, gas 5%)
- Geography
- England, Scotland & Wales
The price cap limits the unit rate and standing charge suppliers can charge on covered default tariffs. It does not cap your total bill: the more energy you use, the more you pay.
Source: Ofgem, Final levelised cap rates model (Annex 9) v1.11 · October 2026 - December 2026. Changes compare with Ofgem's published rates for 1 Jul – 30 Sept 2026.
Energy prices where you live
View all regions
Energy prices by region
| East Midlands | 25.36p | 51.45p | 7.82p | 29.41p | £1,672 |
| North West | 26.49p | 45.68p | 7.86p | 29.81p | £1,685 |
| London | 26.60p | 42.92p | 8.15p | 30.20p | £1,706 |
| Midlands | 25.60p | 57.23p | 7.90p | 29.71p | £1,708 |
| Eastern | 26.61p | 51.84p | 7.91p | 29.34p | £1,713 |
| Northern Scotland | 26.35p | 55.14p | 7.87p | 29.87p | £1,717 |
| Southern | 26.47p | 47.81p | 8.17p | 29.16p | £1,719 |
| Northern | 25.46p | 61.58p | 7.92p | 29.79p | £1,723 |
| Yorkshire | 25.60p | 61.67p | 7.90p | 29.77p | £1,724 |
| Southern Scotland | 26.11p | 61.41p | 7.87p | 29.89p | £1,734 |
| South East | 26.88p | 52.32p | 8.05p | 29.26p | £1,734 |
| South Wales | 26.55p | 55.41p | 8.09p | 29.96p | £1,744 |
| Southern Western | 26.58p | 55.58p | 8.12p | 29.31p | £1,746 |
| N Wales and Mersey | 27.86p | 67.66p | 7.91p | 30.08p | £1,804 |
Cheapest region
East Midlands
£1,672 a year
Most expensive region
N Wales and Mersey
£1,804 a year
Difference
£132/year
Typical dual-fuel household
Typical annual cost uses Ofgem's typical consumption values, single-rate electricity and direct debit, including VAT. Region names are Ofgem's own charge restriction regions.
What happens to energy prices next?
Ofgem has not yet published the next cap period. Rates are normally announced around a month before they take effect and will appear here once the official workbook is published.
View price history
How energy prices have changed
Each point is one Ofgem cap period (direct debit, England, Scotland & Wales average, including VAT). Coverage starts with the earliest Annex 9 workbook Ofgem currently publishes.
How the price cap works
What are you actually paying for?
Wholesale energy
The cost of buying the gas and electricity you use. This is the largest part of a typical bill and the main reason prices move between cap periods.
Networks
Building and maintaining the pipes, wires, pylons and substations that carry energy to your home, plus the cost of balancing the system.
Operating costs
What it costs suppliers to run: billing, metering, customer service and the cost of debt from unpaid bills.
Policy costs
Government schemes charged through bills, such as support for low-income households and funding for low-carbon generation.
VAT
Household gas is charged VAT at the reduced rate of 5%. Household electricity is normally 5% too, but in Great Britain it is zero-rated from 1 October 2026 to 31 March 2027. VAT is applied to everything above.
Standing charge
A fixed daily amount you pay for each fuel, whatever you use. It mainly covers network and metering costs and the cost of supplier failures.
The price cap is built from these components. Ofgem sets an allowance for each one, then converts the total into a unit rate and a standing charge for every region.
Energy price questions
What is the energy price cap?
It is a limit set by Ofgem, Britain's energy regulator, on the price suppliers can charge households on standard variable and other default tariffs. It caps the price per unit of energy (kWh) and the daily standing charge for both gas and electricity.
Does the price cap cap my bill?
No. The cap limits rates, not totals. The widely quoted figure is what a household using typical amounts of energy would pay over a year. Use more energy and you pay more; use less and you pay less.
What is a standing charge?
A fixed daily amount you pay for each fuel even if you use nothing. It covers the cost of keeping your home connected: the wires and pipes, meter maintenance, and the cost of taking on customers when a supplier fails.
Why do energy prices vary by region?
The cost of running the local network differs across Britain, and those costs are passed on where they arise. Ofgem therefore sets a separate cap for each of 14 charge restriction regions, so unit rates and standing charges differ depending on where you live.
Are electricity and gas prices going up?
The direction changes each quarter. This page shows the current cap and, when Ofgem has published it, the next cap alongside the change in pence and pounds, so you can see exactly which way prices are moving.
Does Northern Ireland use the Ofgem price cap?
No. The Ofgem price cap covers England, Scotland and Wales only. Northern Ireland has a separate energy market regulated by the Utility Regulator, with its own suppliers and price controls.
How often does Ofgem change the cap?
Every three months. Cap periods run from January, April, July and October, and Ofgem normally announces the new rates around a month before each one begins.
Understand tariffs and household energy decisions
- Energy tariffs explainedFixed, variable, time-of-use and other tariff types.
- Compare a quoted tariffWhole-bill comparison with exit fees and credits.
- Switching checklistWhat to check before and after you switch.
- Calculate your energy billYour own usage at the current or next cap.
- Compare energy suppliersCitizens Advice customer-service ratings.
- Smart meters and time-of-use tariffsEligibility, peak rates and what to check.