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As energy bills rise for millions of households, we explain what’s happening, whether prices are likely to come down, and how you could save money on your energy bills now.
AT A GLANCE
Energy bills increased by 13% for millions of households on the energy price cap, which is set by Ofgem, from 1 July 2026.
For a household with typical usage, paying by Direct Debit, it’s currently set at £1,663 a year. This figure may look lower than expected – this is because Ofgem has lowered the amount of energy it deems a typical household to use. But remember, the cap is only a limit on standing charges and gas and electricity unit rates, not a cap on how much you’ll pay.
Current forecasts suggest the energy price cap will remain around current levels for the rest of 2026, although some experts predict a small rise while others predict a slight fall. Read on for more on this. However, the outlook remains uncertain.
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Here are the latest energy price cap predictions:
One way you may be able to reduce your energy bills is by fixing your energy deal.
Find out instantly how much you could save on energy bills with our free switching service today
Compare energy deals, see how much you can save on electricity and gas, switch provider today.
If you’re on the energy price cap and you can find a fixed tariff around 10% lower (or more) than the July energy price cap, it’s likely that you could make substantial savings over the next year, depending on the tariff you choose, how long it’s fixed for, and how much energy you use.
Following July’s hike, the current predictions are that the energy price cap will remain around the same level in October and there’s not much expectation that it will fall much in January, although the outlook that far ahead is highly uncertain.
If you fix your energy deal you’ll also be protected from any future price hikes for the duration of your tariff. However, there is a risk that if energy prices fall over the term of your fixed tariff, you could end up paying more overall. So if you’re considering a fixed tariff, check any exit fees for leaving the deal early.
Compare energy deals, see how much you can save on electricity and gas, switch provider today.
This table illustrates how much energy prices have changed in recent months:
| Time period | Energy price cap amount |
| Previous cap: 1 Apr – 30 Jun 2026 | Down 7% to £1,477 |
| Current cap: 1 Jul – 30 Sep 2026 | Up 13% to £1,663 |
If you’re one of the 21 million households in the UK on a standard variable tariff, here’s how the new price cap will change how much you pay:
| Type | Previous price cap rates from 1 Apr to 30 Jun 2026 | Current price cap rates from 1 July to 30 Sep 2026 |
| Gas | Unit rate: avg. 5.74p per kWh Standing charge: 29.09p per day | Unit rate: avg. 7.33p per kWh Standing charge: 29.04p per day |
| Electricity | Unit rate: avg. 24.67p per kWh Standing charge: 57.21p per day | Unit rate: avg. 26.11p per kWh Standing charge: 57.19p per day |
Avoid rising energy prices and save money by switching to a fixed energy deal. Find out instantly how much you could save with our free switching service today
Compare energy deals, see how much you can save on electricity and gas, switch provider today.
Paula Higgins, Chief Executive of the HomeOwners Alliance, says: “People are rightly very concerned over how much the energy price cap rose by on 1 July. We advise people to shop around and compare tariffs to ensure you’re on the best deal for you.”
Compare energy deals, see how much you can save on electricity and gas, switch provider today.
Yes, some help is available for energy bills. For example, individual energy companies have hardship funds. Also, if you’re a pensioner and weren’t eligible for the winter fuel allowance last year, you may be eligible this year.
In March 2026, Chancellor Rachel Reeves said the government plans to help “those who need it most” if energy bills spiral due to the Middle East conflict.
Detail of exactly who could be helped by the UK government and how remains unclear. We’ll update this page as soon as more information is released.
In June 2025, Chancellor Rachel Reeves confirmed that pensioners in England and Wales with an annual income of £35,000 or below will now be eligible – around nine million people.
More than 10 million pensioners had lost the payment, worth up to £300 last year, when it was paid only to those on pension credit. Find out more in our guide on Energy grants and how to get them.
Avoid rising energy prices by shopping around and switching to a fixed energy deal. Find out instantly how much you could save with our free switching service today
Compare energy deals, see how much you can save on electricity and gas, switch provider today.
Here are the historic price changes to Ofgem’s energy price cap, which shows how energy bills have increased and decreased in recent years.
| Price cap period | Ofgem energy price cap | Price cap change vs previous period |
| January – March 2026 | £1,758 | +0.2% |
| October-December 2025 | £1,755 | +2% |
| July – September 2025 | £1,720 | -7% |
| April – June 2025 | £1,849 | +6.4% |
| January – March 2025 | £1,738 | +1% |
| October – December 2024 | £1,717 | +10% |
| July – September 2024 | £1,568 | -7% |
| April – June 2024 | £1,690 | -12% |
| January – March 2024 | £1,928 | +5% |
| October – December 2023 | £1,834 | -7% |
| July – September 2023 | £1,976 | -37% |
| April – June 2023 | £3,116* | -23% |
| January – March 2023 | £4,059* | 20% |
| October – December 2022 | £3,371* | 80% |
| Summer 2022 | £1,877 | 54% |
| Winter 2021/22 | £1,216 | 12% |
| Summer 2021 | £1,084 | 9% |
Source: Ofgem data. *This was replaced by the £2,500 Energy Price Guarantee
Once you’ve shopped around for the best energy deal, the other way to save on energy bills is to use less. You can do this by:
For more ideas read our Top 10 Energy Saving Tips guide
Compare energy deals, see how much you can save on electricity and gas, switch provider today.
