Autumn Budget, 28 October 2026
The Chancellor delivers the Autumn Budget on Wednesday 28 October 2026. Pre-Budget reports suggest the Treasury is considering extra help for households on benefits and has been under pressure to cut levies on bills, but nothing is confirmed until the statement. We’ll update this page on the day.
Already in place from the last Budget: from April 2026 the government moved most of the cost of the Renewables Obligation off household bills and into general taxation for three years, and ended new ECO funding. Ofgem’s April 2026 cap fell 7% partly as a result.
Sources: Which?: Autumn Budget 2026.
VAT on electricity: 0% until 31 March 2027
From 1 October 2026 to 31 March 2027, household electricity in Great Britain has a temporary 0% VAT rate instead of 5%. It applies automatically, including to fixed tariffs. Gas and other domestic fuels stay at 5%, and the cut doesn’t apply in Northern Ireland. The government estimates it saves a typical household around £45 a year. Read our VAT cut explainer.
Sources: HMRC Revenue and Customs Brief 10 (2026).
Price cap: January to March 2027
Ofgem is expected to announce the next cap in late November 2026. Cornwall Insight’s September forecast was around £1,872 a year for a typical household, higher than October’s £1,723, but forecasts change with wholesale gas prices. See the price cap guide.
Ofgem rule changes
- Lower standing charge pilot: a one-year pilot from April 2026, with EDF, E.ON, Octopus and British Gas offering tariffs with lower daily charges and higher unit rates.
- Energy debt relief: a scheme to write off some historic energy debt for eligible low-income households, with the cost recovered across bills.
Sources: Ofgem: lower standing charge tariffs, next steps.
Water reform
Ofwat is due to be abolished and replaced by a single water regulator, following the 2025 Independent Water Commission and the January 2026 white paper. Legislation is still to complete its passage through Parliament. Read more.
Sources: GOV.UK: Ofwat to be abolished · House of Commons Library: A new vision for water.
Homes and landlords
- Private rented homes: the government has confirmed landlords in England and Wales must reach EPC band C by 1 October 2030, unless exempt, with a £10,000 cost cap. Landlord guide.
- EPC reform: a new style of domestic Energy Performance Certificate is planned, with new metrics.
- Boiler Upgrade Scheme: the £9,000 rate for eligible off-gas homes runs until 31 March 2027.
Sources: GOV.UK: Improving the energy performance of privately rented homes · GOV.UK: Boiler Upgrade Scheme.
Last updated: 15 October 2026
