Ofgem UK Home Energy Price Cap Update – November 2026

Your essential guide to the latest Ofgem domestic energy price cap update, what it means for your home bills, and how you can maximise your savings.

Ofgem home energy price cap update November 2026

What is the Ofgem Home Energy Price Cap?

Set by the UK energy regulator Ofgem, the energy price cap places a maximum price that suppliers can charge per unit of electricity and gas for households on default or standard variable tariffs. Adjusted quarterly, the cap aims to protect millions of homeowners from unexpected bill hikes. It reflects current wholesale costs, network charges, government policies, and supplier profits, ensuring a fair deal across the UK domestic market.

November 2026: What’s Changing with the Price Cap?

This November, Ofgem’s updated cap is set in response to evolving wholesale energy prices and the regulatory landscape. If you’re on a standard variable tariff or have not switched recently, the new cap will directly impact your household energy bills.

  • New cap rates apply from 1st November 2026 for all domestic gas and electricity customers not on a fixed rate.
  • The cap typically sets both a daily standing charge and a maximum unit rate per kWh for gas and electricity.
  • Ofgem reviews and publishes these rates every three months to reflect market changes.

What Does the Cap Mean for Your Home Energy Bill?

If you’re on a variable or default domestic tariff, the November 2026 price cap will determine the maximum unit price your supplier can charge, not the total bill. Your usage, property type, and payment method still impact costs. Use our calculator below to see how the new rates affect you.

* Estimated bill based on latest November 2026 price cap rates.

Why Does the Price Cap Change?

Ofgem regularly reviews the home energy price cap to fairly reflect the latest costs facing energy suppliers, such as international wholesale prices, network fees, and policy costs. The cap offers protection for UK households, helping manage spikes in global energy markets. However, it does not guarantee the lowest bill, especially for high-consumption homes.

Should You Switch or Fix?

While the cap sets a limit, fixed rate energy deals can sometimes be lower than the cap, especially if markets fall. Compare your options regularly or contact us for the best home energy rates tailored to your needs.

Compare Home Energy Deals

More Ways to Save on Home Energy

  • Switch to energy-saving appliances and LED lighting
  • Turn down your thermostat by 1°C for instant savings
  • Insulate your loft and walls to reduce heat loss
  • Use smart meters and monitor your usage often
See More Energy Saving Tips

Frequently Asked Questions: Ofgem Price Cap

The cap covers most homes on variable tariffs, prepayment meters, and those not on fixed-term deals. It does not apply to business, commercial, or Northern Ireland users.

Not necessarily: how much you pay depends on your usage and if you're on a fixed or capped deal. The cap sets a limit on rates, but you can still save by comparing options and reducing usage.

Ofgem calculates the cap based on wholesale costs, network charges, policy costs, VAT, and efficient supplier margins, reviewed every quarter to reflect market shifts.

Let Us Help You Save This Winter

Don’t let higher energy costs catch you out. Our UK energy experts are ready to help you find the best deal for your home.

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Updated on 18 Dec 2025