UK energy price cap to fall in April 2026 with £150 bill cut
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Based on 44 sources
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34 claimsThe Ofgem energy price cap will fall from April 1, 2026, to £1,641 per year for a typical household on a standard variable tariff paying by direct debit.
The April price cap reduction gives a saving of £117, or around £10 per month on average.
Chancellor Rachel Reeves promised that £150 would be cut from the average household bill from April, achieved by shifting 75% of Renewables Obligation costs from bills into general taxation and scrapping the Energy Company Obligation scheme.
Open Questions
5 questionsCornwall Insight predicts the price cap could jump to £1,801 by July 2026, a £160 increase from April.
According to cucumbereco.co.uk, www.hetas.co.ukCornwall Insight forecasts the price cap could rise to £1,973 by July 2026, a £332 increase from April.
According to Sky News - Business, www.bbc.co.ukContext: This disagreement creates uncertainty for consumers about the magnitude of expected bill increases in July, affecting financial planning and public perception of energy affordability.