No. A common misunderstanding is that your total gas and electricity bill can never go above the average figure provided in Ofgem’s energy price cap. According to Ofgem’s latest update, from 1st July 2026 a typical household paying by Direct Debit will see their prices go up to around £1,862 a year.9

The price customers pay under the energy price cap is updated every three months and reflects the cost of buying energy in advance on the wholesale market. The current price cap (April–June 2026) is based on energy prices observed up to mid‑February. This means it reflects market conditions before recent global events pushed prices higher.

Since late February, there has been significant disruption in global energy markets following conflict in the Middle East. This has increased wholesale energy prices, particularly for gas. Because the next price cap (from July 2026) is calculated using more recent market prices, it includes the impact of these increases. As a result, the overall level of the price cap is expected to rise. We know rising energy costs are difficult, and we’re committed to supporting our customers with help and advice on managing their bills.

Your energy costs are split into two distinct parts. The first is the standing charge, which is a daily charge for the cost of keeping your home connected to the grid, even if you use no energy at all.

The cost of moving electricity through miles of wires, known as grid transmission fees and regional distribution costs, works just like a courier delivering a package.

Getting electricity or gas to less populated areas simply costs more than delivering to a densely packed city, creating regional energy pricing variations across Great Britain.

Even though the energy price cap strictly limits how much companies can increase these regional fees, your postcode can still impact your daily background costs.

Remember: the price cap only applies to standard variable tariffs.

Fixed tariffs have agreed prices that don’t change during the fixed period you’ve signed up for with your energy supplier. That means you’re protected from future increases, but with some suppliers, you could miss out on lower prices if Ofgem announce a decrease to the price cap. The good news is that if you’re on a fixed tariff with ScottishPower, and Ofgem’s energy price cap goes down, then you will be able to change your tariff to the best option available to you without paying exit fees.

Ofgem’s energy price cap predictions for later in 2026 currently point to further increases. When you’re deciding whether you want a fixed price tariff or a standard variable tariff, we recommend asking yourself 3 questions:

Considering how to lower energy bills in summer 2026 requires a few steps, even with the central heating turned off. You could save money on your bills simply by unplugging "vampire devices", electronics like televisions or microwaves that quietly drain electricity just by sitting on standby. To reduce your daily energy use, try these simple energy efficiency tips like: