From July 1st, UK households with 3 to 4 bedrooms are set to see a rise in their energy bills as the new price cap comes into effect. According to Ofgem, the average electricity consumption for UK households stands at 2,700 kWh annually (approximately 225 kWh per month), while the average gas usage is 11,500 kWh per year (around 958 kWh per month).
Based on current unit rates under the April 2026 price cap, the average annual electricity bill amounts to approximately £666, excluding standing charges, while the average gas bill is roughly £660 annually, also excluding standing charges.
Uswitch reports that the estimated average annual dual fuel bill for households with 3 to 4 bedrooms currently sits at around £1,640. However, following the introduction of the new price cap on July 1st, this figure is expected to rise to £1,862 per year for an average-usage household.
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The price cap calculations take into account energy usage multiplied by average unit rates, plus standing charges. Ofgem and other stakeholders often cite a “medium” household’s annual energy cost at about £1,641 when rounded, aligning with these figures.
Daily average consumption equates to roughly 31.5 kWh of gas and 7.4 kWh of electricity. Uswitch clarifies that average bills are typically based on standard variable tariffs, which fluctuate depending on wholesale market prices. The energy price cap, set by Ofgem, limits the rates suppliers can charge per unit of energy, adjusting as wholesale costs change.
Ultimately, two main factors drive average gas and electricity bills in the UK: wholesale market prices and Ofgem’s price cap response. However, actual bills vary with individual energy consumption—those who use more energy will see higher bills, while those who use less will pay less.