British households to see lower energy bills as Ofgem cuts price cap by seven percent
British households will see energy bills drop by seven percent this April following a price cap reduction. The change reflects new government policy measures.
Ofgem has announced a 7% reduction in its energy price cap, a move that will see the average annual cap for households in the United Kingdom 
GB fall to £1,641. This change, which represents a £117 reduction from previous levels, was confirmed on February 25, 2026, and is scheduled to take effect from April. The adjustment means that most British households will face lower energy bills as the new cap becomes the standard for millions of consumers across the country.
GB fall to £1,641. This change, which represents a £117 reduction from previous levels, was confirmed on February 25, 2026, and is scheduled to take effect from April. The adjustment means that most British households will face lower energy bills as the new cap becomes the standard for millions of consumers across the country.According to the regulator, the primary driver for this reduction is a series of policy cost changes recently announced by the Chancellor in the national budget. These structural shifts include moving certain costs associated with the renewable energy sector onto general taxation rather than including them directly in energy bills. Additionally, the UK government has moved to remove a specific supplier-funded scheme that previously contributed to the total cost of the price cap.
