Changes to energy price cap between 1 July and 30 September 2026
Changes to the maximum amount energy suppliers can charge people on default tariffs for each unit of energy and the daily standing charge. From 1 July to 30 September 2026 energy prices will go up by 13% for a typical household who use electricity and gas and pay by Direct Debit.
You are not affected by the changes to the energy price cap if you have changed to a fixed rate tariff.
Electricty rates
If you are on a standard variable tariff (default tariff) and pay for your electricity by Direct Debit, you will pay on average 26.11 pence per kilowatt hour (kWh). The daily standing charge is 57.19 pence per day. This is based on the average across England, Scotland and Wales and includes VAT at 5%.
Gas rates
If you are on a standard variable tariff (default tariff) and pay for your gas by Direct Debit, you will pay on average 7.33 pence per kilowatt hour (kWh). The daily standing charge is 29.04 pence per day. This is based on the average across England, Scotland and Wales and includes VAT at 5%.
Unit rates and standing charges
You can get and compare by area 1 July to 30 September 2026 and 1 April to 30 June 2026 energy price cap unit rates and standing charges.
You can also find and compare all the energy price cap (default tariff) levels.
Read about who the price cap protects and how the energy price cap is calculated in energy price cap and standing charges explained.
Why energy prices are changing
This increase is a result of higher wholesale gas prices, caused by the ongoing conflict in the Middle East. However, prices are still very much below the height of the energy crisis in 2022. The government then put a limit on bills of £2,500.
Managing your energy bills and tariff
You are covered by the energy price cap if you are on a default tariff and pay for your electricity and gas by:
- standard credit (payment made when you get your electricity and gas bill)
- Direct Debit
- prepayment meter
- Economy 7 (E7) meter
The actual amount you pay will depend on how much energy your household uses, where you live and the type of meter you have.
You could pay less for your energy by changing your energy tariff or payment type. Find out if you can change or fix your tariff and how to switch energy supplier.
You could also save money if your supplier offers half price or lower cost electricity at weekends. Most people who have a smart meter or other low carbon technologies can take advantage of these offers.
Tell your energy supplier if you cannot pay your bills. They must help you if you ask. They could set up a repayment plan or provide you with emergency credit.
Costs included in the energy price cap
The level of the energy price cap is made up of different costs, for example the wholesale cost of gas and electricity, costs to supply energy on the network and VAT. These costs are split within the energy price cap between the unit rate and the standing charge.
Next energy price cap review
We review and set a level on how much an energy supplier can charge for each unit of energy including the standing charge every 3 months.
The levels for the period 1 October to 31 December 2026 will be published by 26 August. We may publish before this date if we need to because of external reasons.
Independent Age calls energy price increase “devastating”
Independent Age Chief Executive Joanna Elson, CBE said: “Today’s energy price cap announcement will be devastating for the older people in financial hardship we support.
“We now know a typical household energy bill will increase by 13% to £1,862. While this rise comes during the summer months when energy usage is lower, low-income households will already be anxiously looking ahead to October when the cap is expected to remain painfully high.
“In an increasingly volatile world and with prices rising across many everyday essentials, people on low incomes need long-term protection from future spikes in energy costs. The recent extension of the Warm Home Discount is welcome, but as soaring bills continue to stretch budgets, the support should be increased from £150 to £400 to match the high cost of energy and lift people out of fuel poverty.
“Introducing a more comprehensive energy social tariff would lower bills further for customers in financial hardship, helping them keep their homes warm during the coldest months.
“If the UK Government is serious about tackling the high cost of living, it must take quick and meaningful action so no older person is left in the cold this winter.”
