What is the Ofgem energy price cap in Q2 2026?

The Ofgem energy price cap for Q2 2026 (1 April to 30 June 2026) is £1,641 per year for a typical household paying by Direct Debit. This is a decrease of 6.6% from the Q1 2026 cap of £1,758. The Q2 2026 unit rates are: electricity 24.67p/kWh and gas 5.74p/kWh. Standing charges are 57.2p/day for electricity and 29.1p/day for gas. These are national averages for England, Scotland and Wales including 5% VAT. The Q3 2026 cap will be announced by Ofgem on 27 May 2026.

How can I reduce my energy bills in the UK?

The most effective ways to reduce UK energy bills include improving home insulation, switching to a heat pump, installing solar panels, using a smart meter to track usage, reducing standby power, and comparing tariffs via a price comparison site.

Energy Bills Calculator UK 2026 — Ofgem Price Cap & Your Exact Costs

Use this free UK energy bills calculator to estimate your annual gas and electricity costs for 2026. Enter your annual kWh usage and the current Ofgem rates to see your estimated annual, monthly and weekly energy costs. Ofgem price cap Q2 2026 (April–June): £1,641/year for a typical household. Electricity unit rate: 24.67p/kWh. Gas unit rate: 5.74p/kWh. A kWh (kilowatt-hour) is the standard unit of energy — find your usage on a recent energy bill or smart meter. Updated May 2026. Instant results. No sign-up.

Ofgem Price Cap — Q2 2026 (1 April – 30 June 2026) · Source: Ofgem, 25 Feb 2026

Typical annual bill£1,641

Electricity unit rate24.67p/kWh

Gas unit rate5.74p/kWh

Electricity standing charge57.2p/day

Gas standing charge29.1p/day

England, Scotland and Wales average, Direct Debit, including 5% VAT. Q3 2026 cap to be announced 27 May 2026. Typical household: 2,700kWh electricity + 11,500kWh gas per year.

How UK energy bills actually work

Your energy bill has two components: a unit rate (what you pay per kWh of energy you actually use) and a standing charge (a fixed daily fee just for being connected to the grid, regardless of usage).

The Ofgem price cap limits the maximum unit rate and standing charge suppliers can charge on default tariffs. It is reviewed quarterly. Crucially, it caps the rate per unit — not your total bill. Higher usage always means a higher bill.

How to read your energy bill

kWh — kilowatt-hour. A 1kW appliance running for 1 hour uses 1 kWh.
Unit rate — what you pay per kWh. Currently capped at ~24.5p/kWh (electricity) and ~6.24p/kWh (gas).
Standing charge — electricity ~53p/day, gas ~30p/day. These alone add ~£300/year.
Dual fuel — some suppliers offer a small discount for taking both gas and electricity together.

Average UK household energy usage

Electricity: ~3,100 kWh/year (low: 1,900 kWh; high: 5,000+ kWh)
Gas: ~11,500 kWh/year (low: 7,500 kWh; high: 17,000+ kWh)
Electric-only households (heat pump) use more electricity but pay no gas standing charge

How to reduce your energy bills

Switch tariff or supplier — fixed-rate tariffs are available again and can be cheaper than the Ofgem cap
Improve insulation — loft and cavity wall insulation are the highest-ROI home improvements for energy costs
Smart meter — accurate usage data means no estimated bills
Off-peak tariffs — Economy 7 or Octopus Go can be significantly cheaper overnight (EV charging, dishwasher, washing machine)
Government schemes — Warm Home Discount (£150), ECO4 insulation grants for eligible households

Frequently asked questions

What is the Ofgem price cap?

The Ofgem price cap limits the maximum unit rate and standing charge suppliers can charge on default tariffs, reviewed quarterly. It caps the rate per unit — not your total bill. If you use more energy, you pay more.

How do I find my kWh usage?

Check your latest energy bill or online account — annual kWh usage is usually shown clearly. Smart meters show real-time usage. If you can't find it, use the UK averages pre-filled above.

Should I fix my energy tariff?

If fixed rates are below the current Ofgem cap, they're worth considering for price certainty. Use a comparison site with your actual kWh figures to see what's available for your postcode.

Why are standing charges so high?

Standing charges cover grid infrastructure maintenance. They've increased significantly in recent years. Some tariffs offer zero standing charges but higher unit rates — better suited to very low-usage households.

How much could I save by switching?

Switching supplier or tariff can save £100–£500+ per year. Compare using your actual kWh figures from this calculator to get accurate personalised quotes.

Ofgem price cap history — 2024 to 2026

The price cap is reviewed every quarter. The typical annual bill figures below are for a household using 2,700kWh electricity and 11,500kWh gas, paying by Direct Debit.

Quarter	Typical annual bill	Electricity (p/kWh)	Gas (p/kWh)	Change
Q1 2024 (Jan–Mar)	£1,928	29.0p	7.2p	—
Q2 2024 (Apr–Jun)	£1,690	24.5p	6.4p	▼ −12%
Q3 2024 (Jul–Sep)	£1,568	22.4p	5.5p	▼ −7%
Q4 2024 (Oct–Dec)	£1,717	24.5p	6.2p	▲ +10%
Q1 2025 (Jan–Mar)	£1,738	24.5p	6.2p	▲ +1%
Q2 2025 (Apr–Jun)	£1,849	24.5p	6.2p	▲ +6%
Q3 2025 (Jul–Sep)	£1,720	22.8p	5.7p	▼ −7%
Q4 2025 (Oct–Dec)	£1,736	24.5p	6.2p	▲ +1%
Q1 2026 (Jan–Mar)	£1,758	27.69p	5.93p	▲ +1%
Q2 2026 (Apr–Jun) ← current	£1,641	24.67p	5.74p	▼ −6.6%

Source: Ofgem. Figures for typical household (2,700kWh electricity + 11,500kWh gas), Direct Debit, England/Scotland/Wales average, including 5% VAT. Q3 2026 cap to be announced 27 May 2026.

Typical energy usage by household size — 2026

Not sure what your annual kWh usage is? Use these Ofgem typical consumption values as a starting point. You can find your exact usage on your annual energy bill or smart meter in-home display.

Household type	Electricity (kWh/yr)	Gas (kWh/yr)	Est. annual bill (Q2 2026)
Flat / 1-bed, 1–2 people	1,800	7,500	~£1,100
Typical 2–3 bed, 2–3 people	2,700	11,500	£1,641 (Ofgem benchmark)
Larger 4-bed, 4–5 people	4,100	17,000	~£2,400

Source: Ofgem Typical Domestic Consumption Values. Estimates based on Q2 2026 unit rates. Actual bills vary by home efficiency, heating system and usage habits.