From 1 July 2025, average energy bills fell by 7% to £1,720.
Average energy bills will continue to be 10% higher (almost £150) than this time last year.
Energy prices are still 65% (almost £700) above winter 2020/21 levels and a third higher (around £450) than pre-Ukraine invasion, but people have less ability to pay these high prices after so many years of high bills and the wider cost of living crisis.
The price cap affects around 35 million customers accounts on standard variable tariffs (SVTs), including around 7 million prepayment meter accounts (PPMs) and 8 million Standard Credit rate accounts (which are more expensive).
The price cap limits the unit cost of energy and standing charges which firms can charge, not the total bill. If you use more energy than average you will pay more than this figure.
Reductions vary across standing charges and unit costs. Gas standing charges and unit rates have reduced by 9%. Electric standing charges are down 4.5% and unit costs down 5%. Ofgem state that the falls in standing charges are driven by suppliers’ operating costs coming down.
Therefore it is useful to look at the cost of a unit of energy and the daily standing charge and compare this over time:
| Accurate at 1 July 2025 | NEW rate to compare | Comparison with previous 3 months | Comparison with same period last year | Comparison to costs pre energy bills crisis |
| DIRECT DEBIT | ||||
| GAS UNIT (kwh) | 6.33 | -9.44% | 15.51% | 80.86% |
| GAS SC | 29.82 | -8.72% | -5.06% | 9.03% |
| ELEC UNIT (kwh) | 25.73 | -4.81% | 15.07% | 105.84% |
| ELEC SC | 51.37 | -4.52% | -14.55% | 110.71% |
|
PRE PAYMENT METERS
|
||||
| GAS UNIT (kwh) | 6.11 | -9.88% | 16.16% | 74.57% |
| GAS SC | 29.82 | -8.72% | -5.06% | 9.03% |
| ELEC UNIT (kwh) | 24.92 | -4.89% | 15.42% | 99.36% |
| ELEC SC | 51.37 | -4.52% | -14.55% | 110.71% |
|
STANDARD CREDIT
|
||||
| GAS UNIT (kwh) | 6.88 | -6.39% | 19.24% | 96.57% |
| GAS SC | 37.7 | 0.35% | 6.98% | 37.84% |
| ELEC UNIT (kwh) | 27.18 | -4.46% | 15.46% | 117.44% |
| ELEC SC | 59.26 | -0.57% | -10.12% | 143.07% |
| ECONOMY 7 | ||||
| ELEC UNIT (kwh) | 25.91 | -4.43% | N/A | N/A |
| ELEC SC | 59.2 | -0.64% | N/A | N/A |
The average household headline rate over time shows the current state of play:
The market for fixed term deals is improving, but those with high exit fees should be treated with suspicion. Customers should also exercise caution when opting for a deal with no or low standing charges as these may be passed on still via higher unit costs.
Britain’s broken energy system continues to cause misery, with fuel poverty affecting many of the most vulnerable. Over 8 million adults lived in cold damp homes and official figures showed that cases of hypothermia surged and every year we see deaths caused by living in cold homes.
Other inequalities in the energy market remain with customers paying by standard credit (i.e. paying by cash, cheque or bank transfer) hit with a significant price premium.
Meanwhile some regions, such as Merseyside and North Wales will pay substantially more than others, such as those in the East Midlands.
To end the energy bills crisis, we need:
- Targeted financial support for households living in cold, damp homes.
- Comprehensive, properly implemented programmes to boost energy efficiency, insulation and ventilation – starting with those in fuel poverty.
- Structural reform of energy markets, tariffs, standing charges and trading to reduce consumer costs.
- Ensuring our energy security by focussing on homegrown renewables (and no further deepening reliance on oil, gas or hydrogen for homes).
Full Price Cap History data (End Fuel Poverty Coalition records) are available to media on request.