REGIONAL PRICE CAP · DIRECT DEBIT
Energy prices in London (October–December 2026)
In London, the price cap from 1 October 2026 to 31 December 2026 is 26.60p per kWh for electricity with a 42.92p daily standing charge, and 8.15p per kWh for gas with a 30.20p daily standing charge.
ELECTRICITY
26.60pper kWh + 42.92p a dayGAS
8.15pper kWh + 30.20p a dayTYPICAL DUAL FUEL
£1,706a year at Ofgem typical useREGIONAL RANK
3 of 141 = lowest typical dual-fuel costHow London compares with the GB average
At Ofgem’s typical use, a dual-fuel Direct Debit household in London would pay £1,706 a year under the cap: £17 less than the GB average of £1,724. That is 3rd lowest of the 14 regions.
| Charge | London | GB average | Difference | Rank |
|---|---|---|---|---|
| Electricity unit rate (p/kWh) | 26.60 | 26.32 | 0.28 | 11 |
| Electricity standing charge (p/day) | 42.92 | 54.83 | -11.91 | 1 |
| Gas unit rate (p/kWh) | 8.15 | 7.97 | 0.18 | 13 |
| Gas standing charge (p/day) | 30.20 | 29.68 | 0.52 | 14 |
| Typical dual-fuel cost (£/year) | £1,706 | £1,724 | −£17 | 3 |
Annual cost at typical use
Ofgem’s typical use is 2,500 kWh of electricity and 9,500 kWh of gas a year. At London’s cap rates that is £822 for electricity and £884 for gas, or £1,706 in total.
Worked example
| Fuel | Energy used | Standing charges | Total |
|---|---|---|---|
| Electricity | 2,500 kWh × 26.60p = £665.00 | 365 × 42.92p = £156.66 | £821.66 |
| Gas | 9,500 kWh × 8.15p = £774.25 | 365 × 30.20p = £110.23 | £884.48 |
| Dual fuel | £1,706.14 |
Who runs the network in London
The London price-cap region is the area served by London Power Networks (UK Power Networks), the electricity distribution network operator. It covers places such as central and inner London. Regions follow the electricity network, not county or council borders, so places near a boundary can fall either side. Cities listed are examples well inside each area. Find your network operator by postcode ↗
Without the temporary 0% VAT rate, 5% VAT on the same electricity cost would add about £41.08 a year in London. About the electricity VAT cut →
Frequently asked questions
What is the electricity price per kWh in London?
Under the price cap from 1 October 2026 to 31 December 2026, electricity in London costs up to 26.60p per kWh with a standing charge of 42.92p a day, for a Direct Debit customer on a single-rate meter (0% VAT this period). That is 0.28p more than the GB average unit rate.
What is the gas price per kWh in London?
Gas in London costs up to 8.15p per kWh with a 30.20p daily standing charge under the cap, including 5% VAT, for Direct Debit customers.
Who runs the electricity network in London?
London Power Networks (part of UK Power Networks) is the distribution network operator for the London region. It runs the local cables and substations; you buy your energy from a supplier. Network costs are part of every supplier’s prices, which is one reason prices differ by region.
Which areas are in the London price-cap region?
The region is the London Power Networks licence area, which includes central and inner London. Regions follow the electricity network, not county or council borders, so places near a boundary can fall either side. Cities listed are examples well inside each area. Search your postcode with the Energy Networks Association to confirm your network operator.
Is this what my supplier will charge?
Only if you are on a default (standard variable) tariff paying by Direct Debit. The cap is a maximum for those tariffs. Fixed deals, prepayment and Standard Credit, and Economy 7 meters have different rates, so check the unit rate and standing charge on your bill.
About these figures
These are Ofgem price-cap benchmarks for a default tariff paid by Direct Debit with a single-rate electricity meter, derived from Ofgem’s rounded annual cap levels. They are not a supplier quote. The cap limits rates, not your total bill: your actual cost depends on how much you use, how you pay and your tariff.
Other regions
- East Midlands £1,672
- Eastern England £1,713
- London £1,706
- Merseyside and Northern Wales £1,805
- North Eastern England £1,722
- North Western England £1,684
- Northern Scotland £1,717
- South Eastern England £1,735
- South Western England £1,746
- Southern England £1,719
- Southern Scotland £1,734
- Southern Wales £1,744
- West Midlands £1,708
- Yorkshire £1,724
Compare all regions in one table →
Sources
- Ofgem: cap tables, October–December 2026 (PDF) ↗London annual charges at nil and typical use, pages 1 and 4.
- Ofgem: energy price cap unit rates and standing charges ↗GB averages and VAT basis.
- Ofgem: typical domestic consumption values decision (PDF) ↗
- GOV.UK: Breathing space on your energy bill ↗
- Ofgem: list of all electricity licensees ↗Distribution network operators, one for each region.
Last updated 11 October 2026. Figures are dated benchmarks taken from the sources above. How we use sources →