Understanding the Energy Price Cap

5th September 2025

What does the rise of 2% on capped energy bills actually mean? October 1st 2025 signifies an increase on average of price-capped tariffs increasing by approximately £35 per year according to Which?

 

Energy bills are not affected if on a fixed tariff. However, standard or tracker tariffs may see energy bills increase if using more than the average, whilst using less means a lower bill.

Essentially, the price cap does not refer to an overall cap but limits the amount an energy supplier can charge per unit.

If you are struggling with your energy bills we would recommend that you contact your supplier and seek advice. Alternatively please do contact us at Cosy Homes in Lancashire and we will happily try and help you with any available Government schemes and suggestions on how to reduce your energy consumption.

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