Ofgem prepayment meter price cap rates this month (UK)
See how the Ofgem price cap affects prepayment meters, what you could pay per kWh and per day, and how to check if switching could suit you.
- Explains the price cap for prepayment meters (PPM) in England, Scotland and Wales
- Shows what the cap means in practice (unit rates, standing charges and regional differences)
- Includes real-world scenarios, pitfalls to avoid and a quick switching checklist
Rates vary by region and meter type. This guide is for households (not business energy). Last updated February 2026.
Fast answer: what are the Ofgem prepayment meter price cap rates this month?
The Ofgem energy price cap sets a maximum level for unit rates (p/kWh) and standing charges (p/day) on default tariffs (including many prepayment tariffs) in England, Scotland and Wales. It is not a limit on your total bill—your bill depends on how much gas and electricity you use.
Important: The cap level and the “typical annual cost” headlines change over time and differ by region. For accurate this month’s PPM rates, check your region in Ofgem’s tables and compare against the rates on your meter / latest statement.
Key takeaways (PPM)
- Prepayment caps are set separately from credit meters, and can differ due to costs and assumptions.
- The cap applies to standard variable / default tariffs. Fixed deals can be above or below it.
- Your region matters (distribution charges differ), so the “cap rate” isn’t identical nationwide.
- Standing charge is paid every day even if you use no energy (and can be higher or lower depending on region).
What to do next
- Check if you’re on a default PPM tariff (often the capped one) or a fixed deal.
- Find your unit rate and standing charge on your meter, app, receipt, or statement.
- Compare like-for-like: same payment method, same fuel, same region.
If you want, you can compare whole-of-market household tariffs (including options suitable for prepayment and smart meters) using the form below. You’ll see estimated costs based on your usage and region.
What the Ofgem price cap means for prepayment meters
For prepayment meters (PPM), Ofgem sets capped maximum charges for single-rate electricity and gas on default tariffs. Suppliers can charge less than the cap, but not more for those capped tariffs.
What’s included in “PPM rates”
- Unit rate (p/kWh)
- What you pay for each kilowatt hour of gas or electricity you use.
- Standing charge (p/day)
- A fixed daily cost for having the supply. It applies even if you use little or no energy.
Why your cap rate may look different to someone else’s
- Region: network costs vary across the UK (your “electricity distribution region” and “gas region”).
- Fuel type: electricity-only, gas-only or dual fuel.
- Meter and tariff type: traditional key/card prepayment, smart prepay, single-rate vs Economy 7 (where applicable).
- Debt recovery / emergency credit: how you repay debt through the meter can affect what you need to top up (it isn’t the same thing as the unit rate).
Northern Ireland: Ofgem’s price cap does not apply in Northern Ireland (the market is regulated differently). This guide focuses on Great Britain (England, Scotland and Wales).
Two realistic PPM bill scenarios (with numbers)
These examples show how unit rates + standing charges combine into an estimated cost. They’re not “this month’s cap rates”—they’re worked examples to help you sense-check bills.
Scenario A: Electricity-only flat (single person)
- Assumed use: 1,800 kWh/year electricity
- Example unit rate: 28.0p/kWh
- Example standing charge: 55p/day
Estimate: (1,800 × £0.28) + (365 × £0.55) = £504 + £200.75 = £704.75/year (about £58.73/month).
Scenario B: Dual fuel house (family)
- Assumed use: 3,100 kWh/year electricity + 12,000 kWh/year gas
- Example unit rates: 27.0p/kWh electricity, 7.0p/kWh gas
- Example standing charges: 55p/day electricity, 32p/day gas
Estimate: Elec (3,100×£0.27)+(365×£0.55)=£837+£200.75=£1,037.75
Gas (12,000×£0.07)+(365×£0.32)=£840+£116.80=£956.80
Total: £1,994.55/year (about £166.21/month).
To estimate your own costs, use your annual kWh (from statements) or a recent month’s usage and adjust for seasonality.
Compare household energy tariffs (including PPM options)
If you’re on a prepayment meter, the best next step is to compare your current unit rates and standing charges against what’s available for your postcode. You can also check whether a credit meter tariff could be an option (where eligible) and what the trade-offs might be.
What you’ll need
- Postcode (for regional rates)
- Whether you have gas, electricity, or both
- Rough usage in kWh (optional but improves accuracy)
What happens next
- We’ll use your details to prepare an estimated comparison
- We may contact you to confirm meter and tariff details
- You stay in control—no obligation to switch
If you have debt on the meter, a planned switch can still be possible in some situations, but you may need extra checks. It’s best to disclose this early so quotes are realistic.
Get your comparison (takes ~2 minutes)
Prepayment vs credit meter: quick comparison
The cap is only one part of the picture. This table helps you compare how PPM and credit setups typically work in the UK. What’s available depends on your supplier, your meter, and sometimes your payment history.
| Feature | Prepayment meter (PPM) | Credit / Direct Debit |
|---|---|---|
| How you pay | Top up in advance (key/card or smart prepay) | Pay monthly (often by Direct Debit) after usage is calculated |
| Budget control | Often easier to see spend as you go | Can spread costs across the year but may build debit/credit balances |
| Risk of disconnection | If you don’t top up, supply can stop (though emergency credit may help) | Supply continues but unpaid bills can lead to debt recovery actions |
| Tariff availability | Some deals available; can be more limited depending on supplier and meter | Often the broadest choice of fixed deals (eligibility varies) |
| Price cap relevance | Cap applies to default PPM tariffs; check regional capped unit rate/standing charge | Separate cap level for credit; again varies by region and payment method |
Switching checklist (PPM)
- Confirm whether you have traditional PPM or smart prepay.
- Collect your current unit rate and standing charge for gas/electric.
- Check if you have any debt being recovered through the meter.
- For Economy 7 (if you have it), note day and night rates separately.
- Ask whether a new tariff would require a meter exchange (and any appointment constraints).
Who switching may suit (and who it may not)
Often suits you if:
- your current rates look high vs regional averages
- you want clearer estimates for your usage
- you can keep details handy (meter type, usage, postcode)
May be harder if:
- you have complex debt arrangements on the meter
- you need a meter exchange but can’t accommodate appointments
- you’re mid-tenancy and landlord permissions apply (for changes)
If you’re unsure, compare first—then confirm eligibility before you commit.
Costs, exclusions and common pitfalls (PPM)
Prepayment is straightforward once set up, but a few UK-specific details regularly catch people out. Use these to avoid comparing the wrong numbers.
Pitfall 1: Confusing the cap with a guaranteed bill
The price cap limits rates on certain tariffs, not total spend. If your usage rises (e.g. electric heating in winter), your costs rise.
Pitfall 2: Not checking standing charges
Two tariffs can have similar unit rates but different standing charges. Standing charges matter most for low users or empty properties.
Pitfall 3: Debt deductions and emergency credit
If your meter is recovering debt, part of each top-up may go to repayments. That can make day-to-day costs feel higher even if the unit rate is competitive.
Pitfall 4: Economy 7 comparisons done wrong
If you have two-rate electricity, comparing against a single-rate quote can be misleading. You need your day and night usage split.
Pitfall 5: Assuming fixed tariffs must be below the cap
Fixed deals can be above the cap, because the cap usually applies to default tariffs. Always compare the quoted p/kWh and p/day and check any exit fees.
Pitfall 6: Not checking tenancy/landlord constraints
Tenants can usually switch supplier, but meter exchanges or changes to meter type may require permissions. If in doubt, confirm before arranging changes.
Reminder: If you’re struggling to top up, you may be able to get help through your supplier or independent support services. Start with Citizens Advice for guidance on emergency credit, repayment plans and supplier support.
FAQs: Ofgem price cap and prepayment meters
Does the price cap apply to all prepayment tariffs?
No. It mainly applies to default (often standard variable) tariffs. Fixed tariffs may not be capped in the same way, so always check the quoted unit rate and standing charge.
Why do “this month’s cap rates” differ by postcode?
Because the cap accounts for regional network costs. Your bill is linked to your electricity distribution region and gas network area, which are determined by where you live.
Is a smart prepayment meter capped the same as a key/card meter?
Often the cap framework covers prepayment generally, but the exact tariff structure can vary. The practical way to check is to compare your current p/kWh and p/day against Ofgem’s published regional cap figures and supplier tariff details.
Can I switch supplier if I have debt on my prepayment meter?
Sometimes, but it depends on the type and level of debt and the switching rules at the time. You may need to agree a repayment approach, and in some cases switching is restricted until conditions are met.
How do I find my current prepayment unit rate and standing charge?
Check your supplier app/online account, your latest statement/letters, top-up receipts (sometimes), or your meter’s menu screens (varies by model). If it’s not clear, your supplier can confirm your tariff and rates.
Does the price cap mean I can’t be charged more than the cap rate?
On a capped default tariff, suppliers must keep rates within the cap for your region and payment method. But if you’re on a different kind of tariff (e.g. some fixes), the cap may not apply in the same way.
Is the price cap the same as the Energy Price Guarantee?
No. The Energy Price Guarantee (when in place) is a government support mechanism, while the Ofgem cap is a regulatory limit on default tariff rates. Which applies (and how) depends on the period and policy in force.
I rent—can I change from prepayment to credit?
Possibly, but it depends on the supplier’s policies, your circumstances (including any debt), and whether a meter exchange is needed. Tenants can usually change supplier, but changing meter type may involve permissions.
Trust & editorial standards
How we assess “price cap rates this month”
We treat “price cap rates” as the Ofgem-capped maximum unit rates and standing charges for the relevant payment method and meter type. Because these vary by region and can change each cap period, we recommend verifying the current figures for your exact region.
- Identify meter/payment type: prepayment (traditional or smart), credit, Economy 7 where applicable.
- Match the region: use postcode to determine the correct regional table.
- Compare like-for-like: unit rate (p/kWh) + standing charge (p/day), by fuel.
- Estimate impact using usage: multiply kWh by unit rate; add 365 days of standing charge.
Limitations and caveats
- Ofgem’s published cap figures are for default tariff caps; not all tariffs are capped the same way.
- Our scenarios are illustrative and use example rates to show the maths—not to state the live cap for your region.
- Households with debt recovery on PPM may see additional deductions from top-ups, which affects cashflow.
- Northern Ireland is outside the Ofgem price cap framework.
Sources (UK)
- Ofgem: Energy price cap
- Citizens Advice: Help with energy supply, bills and problems
- GOV.UK: Energy guidance
Tip: When checking Ofgem tables, make sure you’re looking at the correct cap period and your payment method (prepayment) for the right region.
Ready to check your prepayment rates against what’s available?
Get an estimated comparison for your postcode. We’ll help you understand unit rates, standing charges and any key eligibility points before you switch.
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