What does the energy price cap mean for you?

Ofgem, the energy regulator, introduced energy price caps in order to set a limit on the amount that you can be charged for each unit of gas and electricity, and standing charge. While your usage can change, you’ll never be charged more than the cap. The cap is reviewed every six months (effective April and October) and prices can go up or down. We will notify you in advance of any increases to your prices.  

More information on how the cap is calculated is available on Ofgem's website

 

Is everyone covered by the energy price cap?

No, only customers on Standard (Variable) tariffs, Safeguard tariffs, or who have a prepayment meter. If you're on a fixed tariff and you don’t move to another fixed tariff at the end of your term, you’ll automatically move to our Standard (Variable) tariff, which is capped.

 

How am I affected by the price cap announced by Ofgem on 7 August 2020, effective 1 October 2020?

For a typical household using both electricity and gas and paying by Direct Debit, the price cap will decrease from £1,126 to £1,042.

For customers who pay by cash or cheque, the cap will decrease from £1,209 to £1,121 for a typical dual fuel household, reflecting the fact that it costs more to service customers who pay in this way. 

For typical households with prepayment meters, the price cap will decrease from £1,164 to £1,069.

And for customers who pay by Pay-As-You-Go, the cap will decrease from £1,126 to £1,049 for a typical dual fuel household, but there will be an increase to the Standing Charge. If you pay by Pay-As-You-Go, you will receive a letter or email from us in the next few weeks which will detail your new prices and how this will affect your yearly costs.

 

How will the energy price cap affect my bills?

The energy price cap limits the amount you pay per unit of electricity and gas, and standing charges, not the amount of energy you use. Your total bill will still vary depending on how much energy you use.
 

How can I avoid price increases?

We have a range of fixed tariffs available, where your unit prices and standing charges do not change and are not affected by the price cap. You can view all of our available tariffs and carry out a quick quote to see if there's a better tariff for you, such as our online-only tariff  Online Short-Term, our online-only tariff.