Ofgem Energy Price Cap History: Every Quarterly Level Since 2019

DATA | ENERGY PRICE CAP | OFGEM SOURCE

Ofgem price cap: complete quarterly history

The energy price cap was introduced by Ofgem in January 2019 to protect households on standard variable tariffs from being overcharged. It sets the maximum unit rates and standing charges energy suppliers can apply to default tariffs. The cap is reviewed and reset quarterly (previously twice yearly until October 2022).

The table below shows every quarterly price cap level for a typical direct debit household with standard consumption since 2019. Where the government's Energy Price Guarantee (EPG) was in force (October 2022 to March 2024), it set the maximum household bill below the Ofgem cap level -- the EPG figures are shown separately.

Ofgem energy price cap -- complete quarterly history (2019 to Q3 2026)

Source: Ofgem (direct debit, typical dual-fuel household). EPG = Energy Price Guarantee (government subsidy Oct 2022-Mar 2024). All figures in PS per year.

* During Oct 2022-Mar 2024, the EPG limited what households paid regardless of the Ofgem cap level. The Ofgem cap continued to apply for pricing purposes but the government subsidised the difference.

Why is the price cap rising in July 2026?

The Q3 2026 (July to September) price cap will rise by 13% to PS1,862 because wholesale gas prices spiked sharply in early March 2026 following the start of the conflict in the Middle East. Wholesale gas prices approximately doubled in the weeks following the outbreak before falling back, but remain above their 2025 levels. Because the cap is set approximately three months ahead based on forward wholesale market prices, the March 2026 spike feeds directly into the July cap level.

The Q2 2026 fall to PS1,641 was driven primarily by a reduction in policy costs -- the Warm Home Discount (WHD) scheme costs shifted from standing charges to unit rates in April 2026, reducing overall bills -- and a fall in wholesale prices in late 2025 and early 2026. Network costs rose (offsetting some of the saving), but the net effect was a PS117 reduction from Q1 2026.

Despite the Q3 2026 rise, the typical annual household energy bill will still be significantly lower than the October 2022 to June 2023 peak period. However, it remains approximately 53% above winter 2021/22 levels -- a period before the energy crisis began.

How is the Ofgem price cap calculated?

Ofgem calculates the price cap by building up the component costs that a supplier faces to deliver energy to a typical household. The main components are: wholesale energy costs (approximately 40% of a typical bill -- the price suppliers pay on the wholesale gas and electricity market); network costs (the charges for transporting energy through the national grid and local distribution networks); policy costs (levies funding renewable energy subsidies, the Warm Home Discount, smart meter rollout and other government schemes); and an allowance for supplier operating costs and a regulated profit margin.

The cap sets maximum unit rates (pence per kWh for gas and electricity) and maximum daily standing charges, rather than a cap on total bills. A household that uses more than the typical amount will pay more than the headline figure; one that uses less will pay less. The typical consumption figures used are 2,700 kWh of electricity and 11,500 kWh of gas per year (Ofgem is reducing these further from Q3 2026 to reflect falling median household consumption).

What does the price cap not cover?

The price cap applies only to default and standard variable tariffs. If you are on a fixed-rate tariff, the cap does not apply to you -- your rates are set by the contract you agreed. The cap also does not apply to business energy tariffs, which are commercially negotiated. Northern Ireland has its own separate energy pricing regime and is not subject to the Ofgem cap. In Scotland and Wales, the cap applies in the same way as in England for residential customers on default tariffs.

Prepayment meter customers have a separate cap, currently PS1,597 for Q2 2026, rising to PS1,812 for Q3 2026. From April 2024, prepayment and direct debit standing charges were equalised (levelised), but unit rates continue to have a slight difference.

What is the current Ofgem energy price cap?

The Ofgem energy price cap for Q2 2026 (April to June 2026) is PS1,641 for a typical direct debit household using standard amounts of gas and electricity. From 1 July 2026, the cap rises by 13% to PS1,862 for Q3 2026 (July to September). The cap is reviewed every quarter by Ofgem and applies to households on standard variable (default) tariffs in England, Scotland and Wales. Northern Ireland has a separate pricing regime.

Why does my energy bill differ from the price cap figure?

The price cap figure (PS1,641 for Q2 2026) is based on a typical household using 2,700 kWh of electricity and 11,500 kWh of gas per year, paying by direct debit. Your actual bill depends on how much energy your home uses. A larger property, older heating system or less insulated home will use more. A smaller home or one with solar panels will use less. The cap controls the unit rates (pence per kWh) and daily standing charges -- not the total bill amount.

Does the price cap apply to fixed-rate energy tariffs?

No. The Ofgem price cap applies only to default and standard variable tariffs. If you are on a fixed-rate tariff, your rates are fixed for the term of your contract regardless of cap changes. Some fixed-rate deals are currently available below the Q3 2026 cap level of PS1,862, which may make fixing attractive given the expected July rise. Compare fixed deals against the current and upcoming cap level before deciding.

What is the Energy Price Guarantee and has it ended?

The Energy Price Guarantee (EPG) was a government subsidy introduced in October 2022 to limit the amount households paid for energy below the Ofgem cap level, which would otherwise have exceeded PS4,000 per year at its peak. The EPG limited typical household bills to PS2,500 per year from October 2022 and was gradually phased out, ending permanently on 31 March 2024. Since April 2024, household energy prices are determined solely by the Ofgem price cap with no government subsidy applying.