You might have the sense we've only just put the last energy crisis behind us, but there's some unwelcome news for UK homeowners. Ofgem has put it on the record: the price cap is set to go up 13% in July 2026, which will add £221 to the average household's yearly bill.
Then again, that may be the good part. Some analysts are putting out feelers that we could see even steeper increases later in the year. Cornwall Insight is predicting an October bump that would put a normal home's annual costs in the region of £1,900.
It's a case in point for how much we're at the mercy of the wider world when it comes to fuel and supply.
We can't do anything about a conflict overseas or what happens in the wholesale market, but we can have a say in how much our homes are subject to it.
What's behind the rise?
Put simply, it's the wholesale side of things. With the kind of instability you see in the Middle East and questions over global supply lines, prices are being pushed up.
The UK has put money into renewables, of course, but for most of us, we are still in the grip of the old gas and electricity markets. When those move, we feel it.
On a standard variable tariff, expect to be looking at roughly £1,862 a year from July. If you have a bigger house and use more power, the numbers get less pretty. The BBC has put forward figures of over £2,300 for some.
More than just a number on your statement
Sure, the first thing you notice is the direct debit. But it goes deeper than that.
A lot of people find themselves:
- Only heating the rooms they need
- Curbing their hot water
- Putting off running the washing machine
- Staring at the thermostat
- Dreading the cold before it's here
They are stopgaps, not a fix. And if the talk of an autumn price hike is true, we could be in the same position as we were last time.
Where the waste is
The trouble is, most of us don't really know where we're throwing energy away.
Maybe it's the insulation, or windows that don't do their job. An old boiler, a roof that isn't up to scratch, or solar you're not using.
If you don't know your property, you're just guessing when it comes to cutting back.
Is there more to your home?
Instead of sitting and waiting for the next bill, it might be worth a look at what you have to work with.
Some of these can make a world of difference:
- Solar
- A battery
- Heat pumps
- Upgrades to your controls or charging for an EV
Of course, you don't need to fit every gadget under the sun. You have to figure out what works for you.
Have a look with a Green Home Report
We made it easy to see what your home is capable of. Our no-fuss Green Home Report will tell you:
- Where you can put in some renewables
- How to be less of a drain on the grid
- What's not working as well as it should
- Where to go from here
Straightforward info, no hard sell.
You can't call the future of energy prices, but you can be in a better place for it.
Ready to save on your energy bills?
Use our free calculator to see how much you could save with solar panels, battery storage, or a heat pump.
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