The new rates
Ofgem’s cap for 1 October to 31 December 2026 is equivalent to £1,723 a year for a typical dual fuel household on Direct Debit, up £60 (about £5 a month) from £1,663. Average rates: electricity 26.32p/kWh and 54.83p a day; gas 7.97p/kWh and 29.68p a day. Full details in our price cap guide.
Why gas went up
Ofgem says higher wholesale gas prices, linked to the conflict in the Middle East, are the main driver, with wholesale costs up about 11% over its assessment window. Gas bills rise around 8%. Electricity is broadly stable because the government has removed VAT from household electricity until 31 March 2027.
What you can do
- Compare fixed deals: Ofgem says some are £100 or more below the cap. See how to compare deals.
- Check you’re on the cheapest payment method: prepay and Direct Debit beat paying on receipt of a bill.
- If you’re struggling, contact your supplier now and check grants and support.
Last updated: 15 October 2026
