Household energy bills will tick up slightly in the new year after Ofgem confirmed a 0.2% rise in the price cap for January to March 2026.
The move adds a modest increase to the typical dual-fuel bill, but one that lands at a time when many families are already budgeting for winter costs. The cap for a household paying by direct debit will stand at £1,758 a year.
Despite the small rise, Ofgem said the cap is still lower than a year ago once inflation is taken into account. On that basis, the limit for the coming quarter is about 2%, or £37, below the equivalent period in 2025.
The cap limits the maximum unit price suppliers can charge for gas and electricity, not the total bill, which depends on how much energy a household uses. Ofgem reviews the level every three months to reflect changes in wholesale gas and electricity markets.
The regulator said it would continue to monitor underlying costs and stressed that households struggling with bills should contact their supplier, which must offer support such as payment plans or hardship schemes.