Go.Compare energy expert comments on today’s price cap announcement from Ofgem
The average annual energy bill will fall from £1,758 to £1,641 from April 1st 2026
Ofgem has today (25th February) announced a 7% decrease in the energy price cap, with the average annual cost of energy for a typical household dropping by £117, from £1,758** to £1,641.
The new price cap will come into force on 1st April 2026, bringing with it the lowest gas and electricity prices since September 2024.
Gareth Kloet, expert at Go.Compare Energy, commented: “To hear that the price cap is at its lowest in 15 months will be welcome news to all those responsible for paying gas and electricity bills. Previous increases in energy prices have really put a strain on households, and it is great news this will be easing.”
But while today’s 7% price drop may be good news, Gareth warns that the savings could be short-lived: “At the moment, the UK is benefiting from lower wholesale energy prices, which are a third lower than this time last year, as well as some recent policy changes which mean that energy reforms are being taxed in other ways, rather than through energy bills. So, while we are seeing reduced energy bills in the short term, we may see increases elsewhere in our taxes.
“The fact remains that the amount we pay for energy in the UK is still too high and we have not yet returned to the levels we saw in 2022. In fact, statistics show that the UK and Ireland are both in the top ten countries who pay the most for their energy in the world.***
“Today’s change in price cap will come into effect on April 1st, and with prices coming down, now could be a good time to review your energy contract. Whether you choose the stability of a fixed-rate deal or the flexibility of a variable one, it’s important to make sure your energy deal is right for your needs and doesn’t leave you paying more than necessary. If you’re already in a fixed-rate deal, consider whether you’ll need to pay any exit fees to move contracts, but once you’ve got all this information, using a price comparison website is a great way to help you weigh up the options.”
The price cap is reviewed quarterly by Ofgem, the energy regulator, and sets a limit on the unit rates and charges that energy suppliers can charge for standard variable tariffs.
*According to Ofgem. Figures taken from price cap releases from November 2022 to November 2025
To learn more about the energy price cap, visit: https://www.gocompare.com/gas-and-electricity/guide/energy-price-cap/.
And for more information on how to switch energy providers, Go.Compare has put together a guide which you can find here.
For a comprehensive list of energy savings tips, visit: https://www.gocompare.com/gas-and-electricity/guide/energy-saving-tips/.
Contact Information
Rubie Barker
Notes to editors
*According to Ofgem. Figures taken from price cap releases from November 2022 to November 2025
** https://www.ofgem.gov.uk/press-release/energy-price-cap-will-fall-7-april
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About Go.Compare
Go.Compare is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.
It does not charge people to use its services and does not accept advertising or sponsored listings, so all product comparisons are unbiased. Go.Compare makes its money through fees paid by the providers of products that appear on its various comparison services when a customer buys through the site.
When it launched in 2006, it was the first comparison site to focus on displaying policy details rather than just listing prices, with the aim of helping people to make better-informed decisions when buying their insurance. It is this approach to comparing products that secured the company an invitation to join the British Insurance Brokers’ Association (BIBA) in 2008, and it is still the only comparison site to be a member of this organisation.
Go.Compare has remained dedicated to helping people choose the most appropriate products rather than just the cheapest and works with Defaqto, the independent financial researcher, to integrate additional policy information into a number of its insurance comparison services. This allows people to compare up to an extra 30 features of cover.
Go.Compare is part of Future Plc and is authorised and regulated by the Financial Conduct Authority (FCA). More information can be found here www.gocompare.com or here https://www.futureplc.com/brands/.