What is the energy price cap changing to?

From 1st April, the energy price cap is going down, so most households on standard tariffs should see lower unit rates.

The new cap is £1,641 a year for a “typical” dual-fuel home paying by Direct Debit.

If you’re still struggling with bills, LEAP can help you understand what you’re paying and access support.

From 1st April 2026, the energy price cap is going down. Ofgem has set the new cap at £1,641 a year for a typical household that uses both gas and electricity, is on a standard variable (default) tariff, and pays by Direct Debit. This will be in effect from 1st April to 30th June 2026.

That’s £117 lower than the current cap of £1,758. That’s welcome news, but it can still feel confusing. The cap is not a limit on your total bill. What you pay depends on your unit rates, standing charges and how much energy you use.

What is the price cap changing to?

The headline figure most people see is £1,641 per year. Under the new cap, these are the typical rates you can expect if you’re a Great Britain householder on Direct Debit, according to Ofgem:

• Electricity: 24.67p per kWh, plus a 57.21p daily standing charge
• Gas: 5.74p per kWh, plus a 29.09p daily standing charge

If you pay by prepayment meter, the typical annual figure is £1,597 for the same period. Your actual cost will still vary by region, meter type, payment method and usage, so it's always a good idea to be mindful of your specific situation. We have plenty of advice for you if you’re a prepayment customer.

What is the energy price cap?

Ofgem’s price cap sets the maximum rates suppliers can charge if you’re on a standard variable tariff. It’s essentially created to keep prices as fair as possible. 

A few quick things the cap doesn’t do:

• It doesn’t cap your total bill (using more still costs more)
• It doesn’t cover fixed tariffs
• It doesn’t stop prices changing; the cap is updated regularly

How long before energy prices could change again?

The cap is reviewed every three months. The next cap period starts on 1st July 2026, and Ofgem will announce the new level on 27th May 2026.

Could energy prices rise again?

Yes, they can go up or down each quarter. That’s why it’s worth focusing on the things you can control: making sure your bills are accurate, understanding your tariff and reducing waste where you can.

I’m still struggling to pay my bills. What can LEAP do to help?

If your bills are worrying you, you don’t have to tackle it by yourself.

LEAP is a free energy advice and money-saving service for households at risk of fuel poverty. It starts with a relaxed, informal call with a trained advisor who can help you make sense of your tariff, meter and bills and build a practical plan to reduce costs.

Depending on your situation, LEAP can help you:

• Understand your bill, standing charges and what you’re actually paying for
• Check meter readings and spot where estimates might be pushing costs up
• Review your Direct Debit, including what it means if you’re “in credit” and how to get help from your supplier
• Apply for support like the Priority Services Register or Warm Home Discount (if eligible)
• If you’re on prepay and can’t top up, explore emergency options, and in some cases, access fuel vouchers (subject to eligibility)
• Get practical, day-to-day energy saving advice and referrals for wider financial support

You can apply online here, or call LEAP free on 0800 060 7567 (England and Wales) or 0800 029 4543 (Scotland).