Households on standard variable energy tariffs across England, Scotland and Wales will face higher bills from 1 July after Ofgem announced a 13% increase in the energy price cap. For a typical household, annual costs will rise by \u00a3221 to \u00a31,862.<\/p>\n\n\n\n
The change affects customers who are not on fixed-rate deals and reflects higher wholesale gas prices linked to continued instability in global energy markets. The increase comes after a period in which household energy costs had eased slightly. According to Ofgem<\/strong>, the latest adjustment reflects rising wholesale prices, with gas costs accounting for most of the increase.<\/p>\n\n\n\n For consumers, the announcement raises fresh concerns about affordability <\/strong>ahead of winter, while ministers and consumer groups continue to debate how support should be targeted if elevated prices persist.<\/p>\n\n\n\n According to Ofgem, the energy price cap for July to September 2026 will increase from \u00a31,641 to \u00a31,862<\/strong> per year for a typical dual-fuel household paying by direct debit. The cap limits the price suppliers can charge per unit of gas and electricity rather than setting a ceiling on total household bills.<\/p>\n\n\n\n Ofgem stated that average electricity unit rates will increase from 24.67p to 26.11p per unit, while gas prices will rise from 5.74p to 7.33p per unit. The regulator said customers are expected to see a smaller increase in electricity costs, at around 5%, compared with gas bills, which are rising by approximately 24%.<\/p>\n\n\n\nOfgem Links Price Rise to Higher Wholesale Gas Costs<\/strong><\/h2>\n\n\n\n