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Energy regulator Ofgem has announced a 0.2 per cent rise of the energy price cap for the period covering January to March, 2026. The change will start on New Year’s Day and amounts to a small increase of around 28 pence a month for the average dual fuel household. ‌

Year on year when adjusted for inflation the new cap is 2 per cent or £37 lower than the same period in 2025. The price cap refers to the default tariff applied when a customer is not on a fixed-rate tariff and sets a maximum rate per unit and standing charge that can be billed to customers for their energy use. ‌

For an average household paying by Direct Debit for gas and electricity, the overall energy bill will be £1,758 per year. ‌

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