July 2026 Energy Price Cap

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Ofgem has announced a 13% rise in the energy price cap for the period of 1st July 2026 to 30th September 2026. This means the typical annual household bill will be around £1,862 a year, a fall of £117 from the April to June figure of £1,641 a year.  Compared to the same period in 2025, energy prices will around £142 more expensive

The price increase comes as a result of a shock to the oil and gas markets due to the conflict in the Middle East.

The energy price cap is represented as an annual bill based upon 2700kWh of electricity and 11500kWh of gas usage per year. This is known as a Typical Domestic Consumption Value (TDCV). Most households are unlikely to be on a typical usage and the actual cost will vary depending on your consumption. Many households in Scotland are likely to have higher typical usage than the UK average due to our colder climate.

The price cap is actually a cap on the tariff suppliers can charge you. This is the unit rate, the cost per kWh of energy you use and a daily standing charge.

 

Tariff Table

From 1st April the average tariff in the UK will be:

Please note that costs can vary by region and may vary slightly from what is represented below

Information is extracted from the Ofgem website here.

 

Direct Debit

Electricity

25.85p per kWh unit rate & 64.17p per day standing charge

Gas

7.23p per kWh unit rate & 29.24p per day standing charge

 

Prepayment Meter

Electricity

25.07p per kWh unit rate & 64.17p per day standing charge

Gas

6.95p per kWh unit rate & 29.24p per day standing charge

 

Standard Credit

Electricity

27.29p per kWh unit rate & 72.78p per day standing charge

Gas

7.61p per kWh unit rate & 36.70p per day standing charge

 

Comparison to previous price caps

Compared to the same period last year, prices are around £142 cheaper. While energy prices are increasing they are still below the peak of the energy crisis in 2022 where bills were typically around £2500. However, households could be paying up to twice as much as they were prior to the energy crisis for their energy costs.

 

Should I Switch?

Around 40% of households are currently on a fixed price deal, so are potentially shielded from this price cap increase. If you can get a fixed price deal it may be cheaper than the April energy price cap.  Unfortuantly due to the situation in the Middle East, energy prices are once again affected. This is likely to have an impact on available fixed price deals and future price caps. We’d currently recommend checking out the Money Saving Expert guide which lists the pro’s and con’s of all currently available tariffs that are worth considering. As tariffs may only be available for a short space of time, it’s worth checking this guide to see if there’s a deal that’s right for you.

 

Get Advice

Are you worried about energy prices or debt? Our energy advisors can provide free and impartial advice to anyone in Fife. Get in touch to arrange a home visit or telephone advice appointment to see what you can do to save energy at home.

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