Overview
- The cap for standard variable tariffs is set at £1,758 for a typical dual‑fuel Direct Debit household from January to March, limiting unit rates and standing charges but not total bills.
- Consumers without working smart meters are urged to submit and photograph meter readings before the change to avoid estimated usage being billed at the new rates.
- Actual costs vary by payment method and usage, with pay‑on‑receipt customers expected to pay about £1,894 and prepayment users around £1,711, according to MoneySavingExpert.
- Ofgem attributes the increase to policy and network costs, including an average £1 per month levy for the Sizewell C project and higher standing charges linked to the Warm Home Discount.
- Comparison services say some fixed deals could undercut the cap by roughly £150–£272 a year, while charities warn energy debt is at record levels and fuel poverty persists during the cold snap.