Millions of UK households are facing higher electricity bills from April 2026 as Ofgem price cap data, the energy regulator, prepares to adjust its quarterly price cap in response to rising wholesale gas prices and network cost increases. Here is everything you need to know about the change and what you can do to reduce its impact.
What Is the Energy Price Cap?
The energy price cap limits the amount suppliers can charge per unit of gas and electricity for customers on default tariffs. It does not cap total bills — how much you pay still depends on how much energy you use. The cap is reviewed every quarter, with changes typically taking effect in January, April, July and October.
How Much Will Bills Rise?
While the exact figure for the April 2026 cap had not been confirmed at the time of writing, early estimates from analysts suggested a rise in the region of 5–8% for a typical household compared to the previous quarter. For the average home using around 2,900 kWh of electricity per year, this translates to an increase of approximately £50–£80 per year, or around £4–£7 per month.
The primary driver of the expected increase is higher wholesale natural gas prices, which feed directly into electricity generation costs in the UK given its significant reliance on gas-fired power stations. European TTF gas benchmark gas prices rose through the latter part of 2025, and the effect is now working its way into the price cap calculations.
Are You on the Price Cap?
Most UK households on variable tariffs are covered by the price cap. If you are on a fixed-rate tariff, your rates are locked in until the end of your contract term and will not be affected by this change. This makes it a particularly good time to consider locking into a fixed deal if competitive rates are available from your supplier.
How to Reduce the Impact
There are several practical steps you can take to offset the effect of higher bills. Installing a smart thermostat can reduce heating costs by 10–15%. Switching all lighting to LED bulbs reduces electricity consumption significantly. Running high-consumption appliances such as washing machines and dishwashers during off-peak hours can also lower costs if you are on a time-of-use tariff.
For those who qualify, the government’s Warm Home Discount scheme provides a one-off rebate on electricity bills for eligible households. Check your eligibility on the government website before the April deadline.
Staying informed about energy costs is one of the best defences against rising bills — bookmark our site for regular updates on UK energy prices and policy changes.
