Energy Price Cap

Ofgem will confirm the price cap on the unit costs of gas and electricity from 1 April to 30 June 2024 on Friday 23 February.

Cornwall Insight has published its final energy price cap prediction for the next quarter, with an expected reduction of £293 from the current price cap level of £1,928 to £1,635. The forecasted reduction is subject to additional costs yet to be confirmed by Ofgem

From 1 January 2024 the price for energy a typical household who use gas and electricity and pay by Direct Debit went up by £94. This took the price cap from £1,834 to £1,928 per year.

From 1 January 2024, for a typical user paying by direct debit, the unit rate is 29p/kWh for electricity and 7p/kWh for gas. The average daily standing charge will be 53 p/day for electricity and 30 p/day for gas.

Ofgem has robust rules in place to help people in vulnerable situations, and suppliers are obliged to offer payment plans and direct customers to available support. 

The price cap is a cap on a unit of gas and electricity, with standing charges taken into account. It is not a cap on customers’ overall energy bills, which will still rise or fall in line with their energy consumption.