What is the Ofgem energy price cap?
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In short: From 1 July 2026 the Ofgem cap on default tariffs rises about 13% on unit rates — roughly £18 a month for a typical dual-fuel home paying by direct debit. The headline 'typical bill' is around £1,663–£1,862 a year depending on which consumption benchmark Ofgem uses.
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Reviewed by Kaiser Khan
Ofgem's energy price cap limits the unit rates and standing charges that suppliers can charge customers on their default (standard variable) tariff. It is updated every three months.
For 1 July to 30 September 2026, cap rates rise about 13% compared with the April–June quarter, driven by wholesale gas prices in the February–May assessment period. Using the previous typical-use figures, the annualised cap level is about £1,862 for a dual-fuel direct-debit household; from 1 July Ofgem also uses lower typical consumption figures, producing a headline of around £1,663 — the underlying rate rise is still 13%.
The headline figure is an illustration, not a maximum bill. What you actually pay depends on your unit usage, region and meter type. Fixed tariffs are not affected by the cap until your deal ends; fixes track wholesale markets and may beat the cap if you switch before 1 July.
Primary source: ofgem.gov.uk/information-consumers/energy-advice-households/energy-price-cap
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