Last checked 11 November 2026
The energy price cap
What Ofgem's cap is now, what changes next, what it means for a home like yours and every level since 2021.
The cap now
From 1 October to 31 December 2026 the energy price cap is £1,723 a year for a home that uses 2,500 kWh of electricity and 9,500 kWh of gas and pays by Direct Debit, up 4% on July to September 2026 (£1,663). Retrofit Planner checked these figures against Ofgem on 11 November 2026.
| Rate | July to September 2026Jul to Sep | October to December 2026Oct to Dec | Change |
|---|---|---|---|
| Electricity, per kWh | 26.11p | 26.32p | +0.21p |
| Electricity standing charge, per day | 57.19p | 54.83p | −2.36p |
| Gas, per kWh | 7.33p | 7.97p | +0.64p |
| Gas standing charge, per day | 29.04p | 29.68p | +0.64p |
There is no VAT on electricity from 1 October 2026 to 31 March 2027; gas carries 5% VAT. Rates vary a little by region; these are Ofgem's averages. Source: Ofgem, unit rates and standing charges.
By how you pay
| How you pay | July to September 2026Jul to Sep | October to December 2026Oct to Dec |
|---|---|---|
| Direct Debit | £1,663 | £1,723 |
| Pay on receipt of a bill (standard credit) | £1,796 | £1,861 |
| Prepayment meter | £1,620 | £1,678 |
| Economy 7, Direct Debit | £1,039 | £1,046 |
Economy 7 assumes 3,400 kWh of electricity a year and no gas. Source: Ofgem, 26 August 2026.
What changes next
Ofgem announces the cap for January to March 2027 by 25 November 2026. It takes effect on 1 January 2027. We update this page within a day of the announcement.
Forecast, not the cap
Cornwall Insight expects the January to March 2027 cap to be about £1,999 a year, up 16% on now. It worked this out from wholesale market prices on 28 September 2026; its page was last updated on 14 October 2026. Wholesale prices move every day, so the real cap can land well away from any forecast.
After that, Ofgem has said it will announce the caps for 1 April to 30 June 2027 by 23 February 2027 and 1 July to 30 September 2027 by 26 May 2027 (Ofgem, 26 August 2026).
Email me when the cap changes
One short email when Ofgem announces a new cap, with what it means for your home.
What the cap means for your home
Ofgem's £1,723 is a usage benchmark, not a house. Retrofit Planner's bill model puts a 3 bed semi heated by gas at £1,885 a year at the October to December 2026 cap.
A heated by pays about
£1,885 a year, £157 a month
At the July to September 2026 cap the same home paid £1,815, so the change added £70.
| Home | 1 bed | 2 bed | 3 bed | 4 bed | 5 bed or more+ |
|---|---|---|---|---|---|
| Detached | 1,313 | 1,620 | 1,941 | 2,359 | 3,068 |
| Semi-detached | 1,074 | 1,469 | 1,885 | 2,415 | 3,331 |
| End terrace | 1,273 | 1,540 | 1,829 | 2,200 | 2,829 |
| Mid terrace | 1,090 | 1,429 | 1,789 | 2,248 | 3,036 |
| Bungalow | 1,305 | 1,604 | 1,925 | 2,335 | 3,036 |
| Flat | 1,193 | 1,437 | 1,702 | 2,048 | 2,638 |
From Retrofit Planner's bill model (js/bills.js), not from Ofgem: heating from our heat demand model fitted to the DESNZ National Energy Efficiency Data-Framework 2026, plus the median electricity use for homes with that many bedrooms (NEED Table 4c), plus both standing charges, all at Ofgem's cap rates. The heat pump figure is on a standard tariff. Put in your own home with the energy bill calculator.
The cap since 2021
The cap peaked at £4,279 in January to March 2023. From October 2023 to June 2026, measured on one typical use, it ranged from £1,568 (July to September 2024) to £1,928 (January to March 2024).
Dashed lines mark where Ofgem lowered typical use, so the line breaks there. Hover or tap a step for its figures, or use the arrow keys.
See every cap as a table
| Period | Typical bill | Change | Typical use | Read from |
|---|---|---|---|---|
| October to December 2026 | 1,723 | +4% | 2,500 and 9,500 kWh | Ofgem, 26 August 2026 |
| July to September 2026 | 1,663 | +13% | 2,500 and 9,500 kWh On 2,700 kWh and 11,500 kWh: 1,862. | Ofgem, 1 July 2026 |
| April to June 2026 | 1,641 | −7% | 2,700 and 11,500 kWh On 2,500 kWh and 9,500 kWh: 1,477. | Ofgem, 1 July 2026 |
| January to March 2026 | 1,758 | +0% | 2,700 and 11,500 kWh | Ofgem, November 2025 |
| October to December 2025 | 1,755 | +2% | 2,700 and 11,500 kWh | Ofgem, November 2025 |
| July to September 2025 | 1,720 | −7% | 2,700 and 11,500 kWh | Ofgem, 23 May 2025 |
| April to June 2025 | 1,849 | +6% | 2,700 and 11,500 kWh | Ofgem, 23 May 2025 |
| January to March 2025 | 1,738 | +1% | 2,700 and 11,500 kWh | Ofgem, 22 November 2024 |
| October to December 2024 | 1,717 | +10% | 2,700 and 11,500 kWh | Ofgem, 22 November 2024 |
| July to September 2024 | 1,568 | −7% | 2,700 and 11,500 kWh | Ofgem, 24 May 2024 |
| April to June 2024 | 1,690 | −12% | 2,700 and 11,500 kWh | Ofgem, 24 May 2024 |
| January to March 2024 | 1,928 | +5% | 2,700 and 11,500 kWh | Ofgem, 23 November 2023 |
| October to December 2023 | 1,834 | −7% | 2,700 and 11,500 kWh | Ofgem, 1 October 2023 |
| July to September 2023 | 2,074 | −37% | 2,900 and 12,000 kWh On 2,700 kWh and 11,500 kWh: 1,976. | Ofgem, 26 May 2023, Ofgem, 1 October 2023 |
| April to June 2023 | 3,280 | −23% | 2,900 and 12,000 kWh | Ofgem, 26 May 2023 |
| January to March 2023 | 4,279 | +21% | 2,900 and 12,000 kWh | Ofgem, 24 November 2022 |
| October to December 2022 | 3,549 | +80% | 2,900 and 12,000 kWh | Ofgem, 24 November 2022 |
| April to September 2022 | 1,971 | +54% | 2,900 and 12,000 kWh | Ofgem, 3 February 2022 |
| October 2021 to March 2022 | 1,277 | 2,900 and 12,000 kWh | Ofgem, 3 February 2022 |
Change is on the period before, measured on the same typical use. Ofgem lowered typical use from 2,900 and 12,000 kWh to 2,700 and 11,500 kWh on 1 October 2023, and to 2,500 and 9,500 kWh on 1 July 2026, which on its own makes the typical bill smaller without changing anyone's prices. Through the winter of 2022 to 2023 the government's Energy Price Guarantee limited a typical bill to £2,500, so homes paid less than the cap levels shown for October 2022 to June 2023 (Ofgem).
How the cap works
The cap is the most a supplier can charge for each kWh of energy and for the daily standing charge on a standard variable tariff. It is not a limit on your bill.
- Ofgem sets it every three months. Each new level starts on 1 January, 1 April, 1 July or 1 October, and Ofgem announces it about five weeks before.
- It follows costs. The level is worked out from the wholesale price of gas and electricity, network charges, government policy costs, suppliers' operating costs and VAT. Wholesale costs made up 47% of the cap in October to December 2026.
- It covers standard tariffs. A fixed deal is priced by the supplier and can sit above or below the cap, and so are specialist tariffs such as heat pump and electric vehicle tariffs.
- It covers Great Britain. Ofgem regulates England, Scotland and Wales, so the cap does not apply in Northern Ireland.
- The typical bill is a yardstick. Ofgem quotes the cap as a yearly bill for typical use (2,500 kWh of electricity and 9,500 kWh of gas) so one figure can be compared from quarter to quarter.
Sources: Ofgem, energy price cap explained; Ofgem, 26 August 2026.
Why your bill can be higher than the cap
Because the cap limits prices, not bills. A home that uses more energy than Ofgem's typical amount pays more than £1,723, even at capped prices.
- You use more than the typical amount. A 3 bed semi heated by gas burns about 11,000 kWh of gas a year in our model, against Ofgem's 9,500 kWh. Find what your home uses with the energy bill calculator.
- Standing charges come first. £308 a year goes on standing charges before you use a single kWh.
- How you pay. Paying on receipt of a bill costs £138 a year more than Direct Debit for typical use.
- Your region. The rates above are Great Britain averages; each region has its own cap.
- Your tariff. A fixed deal agreed when prices were higher can cost more than the cap today.
- Your home loses heat. Better insulation cuts the heating part of the bill. See what it is worth with the insulation calculator or read where your energy bill goes.
Work out your own figures
- Energy bill calculatorYour home, your heating, at the October to December 2026 cap
- Average energy bills in the UKMonthly bills for 1 to 5 bed homes
- Heat pump running costsWhat a heat pump costs to run at these rates
- UK Home Upgrade Price IndexThe cost of a unit of heat for every heating type
Questions people ask
What is the energy price cap now?
From 1 October to 31 December 2026 the cap is £1,723 a year for a home that uses 2,500 kWh of electricity and 9,500 kWh of gas and pays by Direct Debit, up 4% on July to September 2026. Ofgem sets it every three months.
What will the energy price cap be in January 2027?
Ofgem has not announced it yet. It will set the cap for January to March 2027 by 25 November 2026. Cornwall Insight forecasts about £1,999 a year, from market prices on 28 September 2026. That is a forecast, not the cap. Until then the October to December 2026 cap of £1,723 applies.
How much is a kWh of electricity?
Under the cap, 26.32p per kWh plus a standing charge of 54.83p a day, the Great Britain average for Direct Debit from 1 October to 31 December 2026. There is no VAT on electricity from 1 October 2026 to 31 March 2027; gas carries 5% VAT. Your region and how you pay change it a little.
How much is a kWh of gas?
Under the cap, 7.97p per kWh plus a standing charge of 29.68p a day, the Great Britain average for Direct Debit from 1 October to 31 December 2026, including 5% VAT.
Does the price cap limit my total bill?
No. It limits the price of each unit of energy and the daily standing charge on standard variable tariffs. The more energy you use, the more you pay. The £1,723 figure is only what a home using the typical amount pays.
When was the energy price cap highest?
In January to March 2023, at £4,279 a year for typical use. The government's Energy Price Guarantee limited a typical bill to £2,500 at the time, so homes paid less than the cap.
Sources
Every cap level and rate on this page is Ofgem's, read on 11 November 2026. Bills for each type of home come from our own bill model. The forecast is labelled and is not Ofgem's.
- Ofgem, changes to the energy price cap between 1 October and 31 December 2026, published 26 August 2026
- Ofgem, energy price cap unit rates and standing charges (current and previous rates)
- Ofgem, energy price cap levels (where each letter below is published)
- Ofgem energy price cap letter, 26 August 2026
- Ofgem energy price cap letter, 1 July 2026
- Ofgem energy price cap letter, November 2025
- Ofgem energy price cap letter, 23 May 2025
- Ofgem energy price cap letter, 22 November 2024
- Ofgem energy price cap letter, 24 May 2024
- Ofgem energy price cap letter, 23 November 2023
- Ofgem energy price cap letter, 1 October 2023
- Ofgem energy price cap letter, 26 May 2023
- Ofgem energy price cap letter, 24 November 2022
- Ofgem energy price cap letter, 3 February 2022
- Cornwall Insight, price cap predictions, updated 14 October 2026
- Bills by type of home: Retrofit Planner bill model, explained on our methodology page, every input listed on our data page
Last checked 11 November 2026. An automated check flags any figure here that stops matching Ofgem's data or our bill model.