Ofgem energy price cap explained

What the cap limits, why typical-use figures are not maximum bills, and how Ofgem's July 2026 consumption revision changes the headline.

The cap limits unit rates and standing charges for covered default tariffs in Great Britain; it does not cap the total amount a household can pay.

For July to September 2026, Ofgem published £1,862 under the previous typical-consumption values and £1,663 under revised values effective from 1 July. The underlying national-average direct-debit rates include 5% VAT.

What is capped

Rates rather than total consumption. Higher kWh still produce a higher bill.

Two headline figures

The tariff did not become cheaper because the consumption benchmark changed. Always state which Typical Domestic Consumption Values are used.

Who and where

It covers relevant tariffs in England, Scotland and Wales; Northern Ireland is regulated differently.

Regional rates

Network area, meter and payment method can change the figures around the national average.

Quarterly check

Use the rate for the exact bill dates, especially when a bill crosses a cap period.

Frequently asked questions

Are £1,862 or £1,663 maximum bills?

No. Both are typical-use illustrations using different consumption benchmarks; actual cost depends on use and tariff rates.

How current are the figures?

Each page shows its review date. Your live tariff and the latest official publication always take priority.

Sources and review date

Content reviewed on: 2026-08-03.