Energy Price Cap Update:
The energy regulator Ofgem has announced a 2% increase in the energy price cap for the period 1 October to 31 December 2025. This raises the annual cost to £1,755 for a typical dual-fuel household paying by Direct Debit
What is an Energy Price Cap?
The energy price cap sets a limit on how much suppliers can charge for each unit of gas and electricity you use under standard variable tariffs. When the cap increases, energy bills rise, but it ensures customers aren’t charged excessively high rates.
If you’re on a fixed deal, this change will not affect you.
To see how this will affect your energy bill you can use the Money Saving Expert – Energy Price Cap Calculator here!
Thinking about switching:
The latest advice from Martin Lewis, The Money Saving Expert, can be found here, including a ‘should you fix?’ calculator.
Before switching, we recommend you consider the following:
- Exit Fees: Check for any exit fees and think about opting for a longer-term fix to protect against price fluctuations.
- Customer Service: Evaluate the level of customer service you receive.
- Household Usage: Consider your household’s energy usage—whether it’s heavy (e.g., multiple occupants) or low (e.g., single occupancy).
- Current Supplier Rates: Contact your current supplier to enquire about the best rates they can offer, and compare these with those of other suppliers.
Remember, always take the final meter reading before you switch, even if you have a smart meter, or are on a prepayment meter. If you are on an Economy 7 tariff you will need to take both day and night meter reads.
If you need help with switching suppliers or energy related advice then please get in touch here