Your guide to the price cap
Everything you need to know about Ofgem’s price cap – what’s changing, what it means for your energy costs, and your latest tariff options.
We update our price cap forecasts on this page every week.
the price cap, explained
The energy price cap is set by Ofgem and limits how much suppliers can charge for each unit of gas and electricity on variable tariffs. It’s designed to keep prices fair and reflect the cost of supplying energy.
The cap is reviewed every three months. When it changes, unit rates and standing charges may go up or down, depending on what’s happening in the energy market. It's important to note:
- The price cap only limits your rates, not your bills.
- Your energy bill still depends on how much energy you use.
- It only applies to variable and tracker tariffs.
- Fixed rate tariffs aren't affected.
Our tracker tariffs move with the price cap every three months, but always stay below it. You can choose your tracker tariff contract length, but your rates aren’t fixed. Early exit fees apply.
If you’re on a variable or tracker tariff, we’ll let you know in plenty of time before the price cap changes. We'll explain how it affects your rates, and your options if you want to switch.
Our price cap forecast
January to March 2027
We forecast the price cap will rise to around £2,225 a year for a typical dual fuel household paying by Direct Debit. That's an increase of around £502 a year (29%), or about £42 a month, compared with today's price cap of £1,723.¹
Why it's going up
The cap follows wholesale gas and electricity prices, which have risen since the October cap was set. Most of the increase comes from the cost of buying energy, which has risen due to world events.
April to June 2027
It's too early to give a firm figure. Our current view is that prices are likely to rise again in April. This view already includes the government's extension of 0% VAT on electricity to July 2027.
When will we know?
Ofgem will confirm the January price cap by 25 November 2026.
We'll update our forecast here every week until then.
Fix your rates for stability
Our So Loyal 24-month fixed tariff gives renewing customers our lowest prices. Your unit rates and standing charges stay the same for 24 months.
You'll pay a little more than the price cap right now, but if the forecast is right, you’ll pay less from January. And whatever happens after that, your prices will stay the same. Your bill will depend on how much energy you use. See the graph below.
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What To Check Before a Price Change
Whether prices rise or fall, there are a few things you can do to stay in control.
Save With A Smart Meter
A smart meter sends automatic readings, so your bills are based on what you actually use, with no estimates.
It also helps you understand how much energy you're using, so you can spot where to cut back and keep better control of your bills – especially when prices change.
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Frequently Asked Questions
What is the Energy Price Cap?
How does the Energy Price Cap work?
How does the Energy Price Cap affect me?
Should I fix my rates?
Will my Direct Debit change?
1. Forecasts are So Energy's own estimates based on current wholesale market prices. They aren't guaranteed and can change, up or down, until Ofgem announces the cap. Figures are for a typical household using 2,500 kWh of electricity and 9,500 kWh of gas a year, paying by Direct Debit, including VAT. Last updated: 4 November 2026. Based on wholesale prices at close of trading on Friday 30th October 2026.