Ofgem Price Cap Rates by Region: July 2026
From 1 July 2026 the Ofgem price cap rises to £1,862 a year for a typical dual-fuel home on Direct Debit — up £221 (+13.5%). But that headline is a Great Britain average: your real rates depend on which of the 14 distribution regions you live in. Below are the confirmed regional unit rates and standing charges for 1 July–30 September 2026, plus how to find a deal that beats your region’s cap.
- The confirmed July 2026 regional unit rates and standing charges, region by region
- Why Northern Scotland and Merseyside pay most, while London and Eastern pay least
- How to find a tariff that beats your regional cap by postcode
Written by: EnergyPlus Editorial Team · Last reviewed June 2026 · UK residential energy. No obligation to switch.
The national July 2026 cap — what is confirmed
Ofgem has set the price cap for 1 July to 30 September 2026 at £1,862 a year for a typical dual-fuel household paying by Direct Debit. That is up £221, or 13.5%, on the previous £1,641 level — one of the steeper quarterly rises in recent years, driven mainly by higher wholesale gas costs.
On the national average Direct Debit cap (including VAT at 5%):
- Electricity: 26.11p per kWh, with a 57.19p/day standing charge.
- Gas: 7.33p per kWh, with a 29.04p/day standing charge.
Gas unit rates rise about 24% this quarter, while electricity rises roughly 5% — so gas-heavy homes feel the increase most. Other payment methods are capped differently: prepayment sits at about £1,812 a year and standard credit (on receipt of bill) at about £2,005. Importantly, only Standard Variable (price-capped) tariffs rise on 1 July — the roughly 40% of households on a fixed deal keep their agreed rates until the fix ends. The next cap review takes effect 1 October 2026.
July 2026 price cap rates by region
The cap is not one number — Ofgem sets 14 separate regional caps, one for each distribution region of Great Britain. Your supplier charges the rate for your region, which is decided by your postcode, not by where the supplier is based. The table below shows the confirmed Direct Debit unit rates and standing charges for 1 July–30 September 2026, including VAT at 5%.
| Region | Elec p/kWh | Elec SC p/day | Gas p/kWh | Gas SC p/day |
|---|---|---|---|---|
| London | 26.35 | 44.78 | 7.50 | 29.52 |
| South East | 26.67 | 54.45 | 7.39 | 28.63 |
| Southern | 26.42 | 49.70 | 7.53 | 28.53 |
| South West | 26.39 | 57.89 | 7.48 | 28.68 |
| South Wales | 26.33 | 57.84 | 7.42 | 29.30 |
| Eastern | 26.38 | 53.94 | 7.26 | 28.70 |
| East Midlands | 25.10 | 53.60 | 7.19 | 28.78 |
| West Midlands | 25.33 | 59.71 | 7.27 | 29.06 |
| North West | 26.13 | 47.61 | 7.24 | 29.17 |
| Merseyside, North Wales & Cheshire | 27.66 | 70.76 | 7.28 | 29.42 |
| Yorkshire | 25.31 | 64.38 | 7.27 | 29.12 |
| Northern (North East) | 25.22 | 64.29 | 7.28 | 29.15 |
| Southern Scotland | 25.85 | 64.17 | 7.23 | 29.24 |
| Northern Scotland | 26.42 | 57.55 | 7.23 | 29.22 |
Source: Ofgem price cap, 1 July–30 September 2026 (Direct Debit, incl. VAT at 5%), as published by Uswitch and MoneySavingExpert. The 14 regional figures average to the national 26.11p electricity / 7.33p gas. Standing charges vary most by region — check your bill for your exact figure.
The pattern is clear: Merseyside, North Wales & Cheshire and the northern English regions carry the highest standing charges, while London has the lowest electricity standing charge and the East Midlands and Eastern regions sit among the cheapest on unit rates. Northern Scotland and Merseyside sit at the high end of total annual cost; London, Eastern and the South East at the low end.
Why your rates vary by region
The differences come from regional distribution and network charges — the cost of carrying electricity and gas from the national grid to your home through local cables and pipes. These are structural, not supplier choices, so switching supplier will not remove them. Three drivers dominate:
- Population density. Densely populated regions such as London spread fixed network costs across more customers per kilometre of cable, lowering the per-home charge.
- Distance from generation. Energy moving long distances — for example to and within Northern Scotland — incurs higher transmission and distribution costs.
- Network age and reinforcement. Regions whose networks need more upgrading pass those costs through their standing charges.
Because the cap is a ceiling, many fixed and tracker tariffs are priced below it in every region. The savings live in the gap between your regional cap and the best available deal for your postcode — which is exactly what a whole-of-market comparison surfaces.
Frequently Asked Questions
Why do energy rates vary by region in July 2026?
Ofgem sets 14 separate regional caps because distribution and network charges — the cost of moving energy through local cables and pipes — differ across Great Britain. Sparsely populated regions and those far from generation cost more to serve, so their unit rates and standing charges are higher. The figure you pay is set by your postcode, not your supplier.
Which region is cheapest and which is most expensive?
For the 1 July–30 September 2026 cap, London, Eastern and the South East sit at the lower end of total annual cost, while Merseyside, North Wales & Cheshire and Northern Scotland sit at the higher end. London has the lowest electricity standing charge; the northern English regions carry the highest standing charges. Exact figures vary by region — see the table above.
What is my region’s exact July 2026 rate?
Find your region in the table above, or read your distribution region off your latest energy bill. Because rates differ by postcode and meter type, the surest way to see your exact July rate — and the deals that beat it — is to enter your postcode into the comparison form on this page.
Does the July 2026 rise affect fixed-rate deals?
No. Only Standard Variable (price-capped) tariffs rise on 1 July 2026. If you are on a fixed deal — around 40% of households are — your unit rates and standing charges stay the same until your fix ends. When it does, you move to the prevailing cap unless you choose a new deal.
How do I find which Ofgem region I am in?
Your distribution region is printed on your energy bill, or you can match your postcode against the distribution network operator (DNO) list on Ofgem’s website. Your DNO determines which of the 14 regional caps applies to you. Entering your postcode into the form on this page resolves it automatically.
Can I beat the cap in my region?
Often, yes. The cap is a ceiling, and fixed or tracker tariffs are frequently priced below it across all 14 regions. With gas unit rates jumping about 24% on 1 July, locking in a competitive fixed deal before the rise can protect you — compare for your postcode to see what is available.
See your region’s exact July rate — and beat it
Enter your postcode to see your region’s exact 1 July 2026 cap rates and the gas and electricity deals priced below them for your meter type. No obligation, whole-of-market.
Exact figures vary by region. By submitting our form you agree we may contact you about your comparison.
Information is for general guidance based on Ofgem published cap data for 1 July–30 September 2026 and supplier pricing as of June 2026. Specific rates depend on your postcode, meter type and tariff terms. Always check the latest tariff details before switching. EnergyPlus is an independent comparison service.
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