
Should I fix my energy or stay on the Price Cap?
Average annual energy bills will fall by 7% on 1 July for those on standard price-capped tariffs (most households). But should you stay on the Price Cap, or move to a fixed deal? We've help to decide if fixing is right for you, plus analysis of the tariffs we've spotted...
You can find your cheapest fix, based on your usage and region, by doing a full Cheap Energy Club comparison. It'll show you how the Price Cap is predicted to change over the next year, so you can factor that in when deciding whether to fix.
How to check if it's worth fixing your energy
Before you switch to a fix (or any other tariff), you need to understand how the Price Cap will dictate what you pay if you were to stick on a price-capped tariff. Bear in mind this only really applies to one-year fixes – it's a much harder decision if you want to fix for longer.
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If you're not on a fix, you're almost certainly on a price-capped tariff, so that's what you need to compare against
Almost every household is currently on a standard tariff with prices dictated by the Energy Price Cap. For a household with typical usage, paying by Direct Debit, it's currently set at £1,849 a year. This is set to fall to £1,720 a year from 1 July.
But remember, the Cap is not a cap on how much you pay – it only limits standing charges and gas and electricity unit rates. See Price Cap FAQs for full info or see the full region-by-region rates in our Price Cap rates guide.
Yet that's not the full story as the Price Cap changes every three months, so you need to know how it's likely to change over the next year...
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The Price Cap will fall by 7% on 1 July
The most important thing to understand is that price-capped tariffs are variable, and the prices change every three months in line with the Cap.
So when considering if it's worth switching to a fixed deal, you need to look at what is expected to happen over the course of the next year. A fix that looks decent now could end up costing you more over the next year if energy prices drop.
Energy Price Cap - confirmed changes and future predictionsTime period
Price Cap on typical use (1)
CURRENT PRICE CAP
1 April 2025 to 30 June 2025
£1,849 a yearNEW PRICE CAP
1 July 2025 to 30 September 2025
Confirmed
DOWN 7%
£1,720 a year1 October 2025 to 31 December 2025
Crystal ball-gazing (2)UP 2%
£1,760 a year1 January 2026 to 31 March 2026
Crystal ball-gazing (2)UP 1%
£1,774 a year1 April 2026 to 30 June 2026
Crystal ball-gazing (2)UP 5%
£1,856 a yearBased on a dual-fuel household paying by Direct Debit. (1) 2,700 kilowatt hours of electricity, 11,500 kilowatt of gas. (2) Average according to the latest predictions (on week beginning 16 June 2025) from EDF, British Gas and E.on Next's Price Cap Forecasting Services.
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Martin's rule of thumb for when it's worth switching
Some of this is crystal-ball gazing and averaging, but if the predictions above are right, our best guess is...
It's predicted that over the next year you'll pay roughly 3% less than the current Price Cap (4% more than the Jul to Sep Price Cap) on a price-capped tariff.
This is based on current published Price Cap predictions, which are changing all the time.
So if you find a fix that's:
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Over 6% less than the current Price Cap, you're very likely to save some compared to staying on the Price Cap.
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Between 3% and 6% less, you'll likely save compared to staying on the Price Cap.
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Up to 3% less, you'll not likely save compared to staying on the Price Cap.
We've full details of the current deals below. You can use our Cheap Energy Club comparison tool to see the top deals for you plus a bespoke prediction of what you'd pay likely on the Cap over the next year.
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Top energy deals
We've a list of the top standalone energy deals below. Savings are compared against the current Price Cap, which ends 30 June. Yet what you'll pay varies by region and usage, so it's best to get a bespoke comparison. You can use our Cheap Energy Club to see the top fixes for you.
Supplier & tariff info | Average cost compared with Price Cap (1) | Key info |
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Top standalone fixed tariffs | ||
Outfox Energy | - 14.9% LESS (8.5% LESS than Jul's Cap) | - New and existing customers |
Tulo Energy | - 14.3% LESS (7.8% LESS than Jul's Cap) | - New and existing customers |
So Energy | - 13.1% LESS including MSE cashback (6.6% LESS than Jul's Cap) | - New and existing customers |
E.on Next | - 11.4% LESS including MSE cashback (4.7% LESS than Jul's Cap) | - New and existing customers |
No-risk fix | ||
EDF Energy*
| - 5% LESS (2.1% MORE than Jul's Cap) | - New and existing customers |
Cheap electricity-only fix | ||
Fuse | - 19.6% LESS (15.6% LESS than Jul's Cap) | - New and existing customers |
Correct as of 19 June 2025. (1) All tariffs assume typical use (2,700 kilowatt hours of electricity, 11,500 kilowatt hours of gas), paid by monthly Direct Debit – your exact price depends on region and usage. Includes MSE cashback (£20 dual-fuel or £10 single-fuel) where available.
Fixing isn't your only choice to save
For most, locking into a cheap fix is the simplest and safest way to guarantee a saving, but there are alternatives. We've full info on the alternatives to fixing below, but in brief, these include:
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Discounted Price Cap tariffs – these are variable tariffs that typically offer a fixed discount on the Price Cap for 12 months (such as E.on Next's Next Pledge or EDF Energy's Simply Tracker tariff).
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Cheaper variable tariffs – these are standard variable tariffs, so they are still controlled by the Price Cap, but some providers have set their rates below the max allowed by Ofgem. These include Home Energy, which is 10% cheaper than the Price Cap, and Octopus Energy, which offers a £15 saving on the maximum standing charge costs allowed under the Cap.
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'Tracker' tariffs – such as Octopus Tracker, where the rates change every day, and Agile Octopus, where the rates changes every half-hour, based on wholesale energy prices (what providers pay for gas and electricity).
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Electric vehicle energy tariffs – specifically designed for those with electric vehicles (EVs), EV energy tariffs tend to offer cheaper off-peak rates for charging your vehicle, usually overnight, and higher peak rates for all other usage. See what EV tariffs are available.
Is it worth fixing for longer?
Until recently longer fixes were relatively costly, but there are now some decent 18-month fixes. Yet no analysts predict the Price Cap rate more than about a year out, as the market is too volatile. So there's an element of uncertainty here.
Yet longer fixes can currently be as cheap as the one-year deals, so if you want longer-term peace of mind, they look strong. You can see how these longer tariffs stack up for you in our Cheap Energy Club.
Some of the fixed deals available right now are still only for existing customers of that firm.
If you want one of these deals but you're not an existing customer, you may still be able to get it. Simply switch to that provider's standard tariff first, and once that's done ask to be switched to the existing-customer deal.
The only issue here is if the deal is pulled before you become a customer. It can happen – deals can disappear without warning. Yet switching usually only takes five days, so it's a relatively small risk.
Spotted an existing-customer deal you want but you're not with that firm? You might still be able to get it
What are the alternatives to fixing?
If you don't want to fix you energy tariff, there are other options, including...
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Do nothing – stick on the Price Cap
Around 70% of homes in England, Scotland and Wales are on standard variable tariffs set on or near the maximum level they can be under regulator Ofgem's Price Cap. This cap changes every three months.
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Cheaper variable tariffs that undercut the Price Cap
While firms are unable to charge those on standard tariffs more than the Price Cap, they can charge less if they wish to. There are a number of variable tariffs to switch to that can work out cheaper than the current Price Cap:
EDF Simply Tracker – discounts standing charges to be £50 below the Price Cap and changes quarterly
EDF Energy is offering new and existing customers a 12-month tariff priced £50 below the Price Cap. That makes it 3% less than the Price Cap on average. The Price Cap standing charges will be discounted so all customers (irrelevant of energy use, payment method or region) will pay £50 under the Cap over the next 12 months (£25 if single fuel). You can see how it compares to other tariffs in our Cheap Energy Club.
The unit rates will match the Price Cap and will change every three months. This means you'll always be paying less than the Cap. It is particularly good for low to medium energy users. Bear in mind there are exit fees of £25 per fuel if you leave before the end of the 12-month term.
E.on Next Pledge – discounts units rates to track £50 below the Price Cap and changes quarterly
E.on Next is offering new and existing customers who pay via Direct Debit a 12-month tariff priced £50 below the Price Cap (at average annual use), making it 3% below the Cap.
The unit rates you pay will change every three months, while the standing charges are fixed. This means when the Price Cap changes, the amount you pay on the Next Pledge tariff will also change (and you'll always be paying less than the Cap).
The Price Cap unit rates will be discounted so a typical-use household will pay £50 under the Cap over the next 12 months. However, your actual discount will vary depending on your usage. If you're planning to stick on a price-capped standard variable tariff, it's worth considering.
Plus there are no exit fees with the latest version of this tariff (previously £25 per fuel), so you're free to move to another tariff with E.on or any other supplier. If you're already on a previous version of the Pledge tariff (v3) you can switch penalty-free to the latest version (v7) to take advantage of no exit fees.
You can see how it compares to other tariffs in our Cheap Energy Club.See Martin's explanation of E.on Next tracker from The Martin Lewis Money Show Live on Tuesday 13 December 2024. While the rates for the tariff will have changed since then, the principle remains the same.
Martin Lewis explains how Eon's tracker tariff worksWatch: Martin Lewis explains how E.on Next's tracker tariff works and why it's worth considering
Scottish Power's Cap Tracker is a variable tariff that moves with the Price Cap every three months. It gives a fixed discount off the Price Cap standing charges for 12 months (your unit rates will match the Price Cap), meaning it'll stay £15 below the Price Cap (£7.50 for single fuel) for the fixed term. For full details, go to Scottish Power to get a quote.
Sainsbury'sTracker and Reward 12mis a variable tariff that matches the Price Cap standing charges and unit rates, so it changes every three months. You’ll receive 750 Nectar points (worth £3.75) per fuel every three months (maximum 6,000 in 12 months, which is equivalent to £30) and two extra points for each pound spent in Sainsbury's stores/online. You can see how it compares to other tariffs in our Cheap Energy Club.
Scottish Power and Sainsbury's Energy also offer Price Cap tracker tariffs
There are standard variable tariffs cheaper than the Price Cap
There are a handful of standard variable tariffs that are cheaper than the Price Cap, including:
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Home Energy's Fair Variable tariff is a variable dual-fuel or electricity-only Direct Debit-only tariff that's currently 13% cheaper than the Price Cap. As it's a variable tariff there are no exit fees, so you can switch to a better deal if its prices rise – and there are no guarantees if or when that might happen.
Home Energy is a small and fairly new supplier, with little feedback on its customer service, but you will see them in our Cheap Energy Club comparison. As it's a variable tariff, with no fixed end date, the rates and standing charges are governed by the Price Cap, so you'll never pay more than that if you choose to switch to this tariff.
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Octopus Energy's Flexible Octopus is another variable tariff that's cheaper than the Price Cap, but only by a few quid. Octopus discounts its standing charges on this tariff (but charges the Price Cap for unit rates), making it on average about £15 cheaper than the Price Cap. Co-op Energy, which is now part of Octopus Energy, offers the same tariff. You can see how Octopus and Co-op Energy's tariffs compare in our Cheap Energy Club.
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Fuse Energy Variable Import is an electricity-only tariff that's 6% cheaper than the Price Cap. Fuse also offers lower standing charges than the maximum allowed under the Cap. However, as it's electricity-only, you'll need to get your gas supply elsewhere (assuming you need it).
Plus it's a new firm with no track record. If you're interested in switching, see the current rates in our Cheap Energy Club and read our need-to-knows below.
Fuse Energy's variable tariff: average electricity unit rates and standing chargesBill element
Fuse Energy
(from 1 April 2025)Current Price Cap
(1 April to 30 June 2025)Unit rate
23.20p/kWh
27.03p/kWh
Standing charge
58.24p a day
53.80p a day
Figures shown are averages, which vary by region. Assumes payment by Direct Debit and includes VAT (at 5%).
Fuse Energy's fixed tariffs: average electricity unit rates and standing chargesBill element
Fuse Energy 18 month fix
(from 30 April 2025)New Price Cap
(1 April to 30 June 2025)Unit rate
21.31p/kWh
27.03p/kWh
Standing charge
44.46p a day
53.80p a day
Figures shown are averages, which vary by region. Assumes payment by Direct Debit and includes VAT (at 5%).
If you're thinking of switching to Fuse, it's worth bearing the following in mind before you make the move:
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You can manage your account online or via its app. You can download Fuse Energy's app to get a quote, start a switch and manage your account. It's available on the Apple App Store and Google Play Store. Alternatively, you can sign up and manage your account directly from the web. Customer service is also mostly handled through the app, though the firm told us customers can also email it on support@fuseenergy.com. Potential customers can check their rates (based on their postcode) on the firm's website before committing.
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You pay by Direct Debit based on the electricity you used the previous month. Fuse uses variable Direct Debits, where you just pay for what you use month by month. The advantage of this is you won't build up too much credit; the disadvantage is you'll need more cash in the winter months as your usage isn't smoothed out across the year.
Fuse also doesn't currently support any other type of Direct Debit, nor does it support standard credit (where you pay by card, cash or cheque on receipt of a bill) or prepayment (where you top up your meter before using any energy).
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Customers are able to make one-off top-ups to their account to build credit ahead of the winter
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It now supports Economy 7. Households that have a multi-rate meter can join Fuse's Economy 7 tariff. See our Economy 7 guide for details.
How Fuse Energy's VARIABLE tariff unit rates and standing charges compare with the Price Cap
How Fuse Energy's FIXED tariffs unit rates and standing charges compare with the Price Cap
Need-to-knows before you decide to switch to Fuse Energy
The Octopus Tracker tariff – prices change daily based on wholesale rates
The Octopus Tracker tariff is available to existing Octopus customers (though others can just switch first to its standard tariff, then to this) with dual-fuel, electricity-only and gas-only options.
Rates change daily depending on wholesale costs (and where you live), which makes it more of a gamble. It's been 30% cheaper than the Price Cap on average over the last year - though the key is, it is variable, so there's uncertainty to what you pay. So you’ll need to keep a close eye on the rates in case wholesale prices rise.
If it does start to get expensive, you can just switch back to its price-capped standard tariff (though it may take two weeks and you can't go back to the Tracker for nine months). Plus you'll need to get a smart meter if you don't already have one.Currently, tow thirds of homes have their energy prices controlled by regulator Ofgem's Price Cap. These are largely based on wholesale energy prices, and only change every three months, so there's a big time-lag between changes in wholesale prices and any change to the actual rates we pay.
Yet Octopus Tracker follows wholesale costs on a daily basis, and prices are reflected in the rates you pay the next day, so gives quicker access to falling prices. But if wholesale prices start to climb, so too will the rates you pay. You'll need to be willing to keep tabs on the changing unit rates to ensure it's still competitive.
Octopus has said rates will likely double during winter periods, when demand for energy is much higher, so prices are high right now. But of course, if wholesale costs do start to fall as the weather improves, the Tracker's rates will drop straightaway too.
Octopus Tracker also has a £1-a-kilowatt-hour maximum cap on electricity and 30p-a-kilowatt-hour maximum cap on gas, so if prices do rise rapidly, there is a limit on what you would pay for each unit of energy you use.
How much one week's energy would costGas
Electricity
Total (2)
Octopus Tracker (1)
Unit rate: 4.96p a kilowatt hour (kWh)
Standing charge: 31.31p a day
Unit rate: 22.32p a kWh
Standing charge: 51.77p a day£28
Energy Price Cap from 1 April 2025
Unit rate: 6.93p a kWh
Standing charge: 32.68p a day
Unit rate: 26.46p a kWh
Standing charge: 53.14p a day
£35
(1) Average of the daily rates in the West Midlands on 21 to 27 April 2025. (2) Calculated using regulator Ofgem's typical-use figures for West Midlands: 11,500kWh for gas and 2,700kWh for electricity.
While rates can be cheaper, they can spike suddenly if wholesale costs rise
How much one week's energy would cost
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'Time of use' tariffs – good for those who can control peak usage, for example, electric vehicle charging
Specially designed electric vehicle (EV) energy tariffs, for those with an EV and a home charger, allow households to take advantage of cheaper off-peak rates to charge their vehicle, when there's less demand on the grid. With some of these tariffs, you can also take advantage of the off-peak rate for your other electricity use too.
The flipside is they can be pricey during peak times, so you could end up paying more for your general electricity use.
It's also worth noting some of these tariffs are only available if you have certain car models or chargers, and most suppliers will say that they can ask for proof that you have an EV.
The Agile Octopus Tracker tariff – prices change half-hourly based on wholesale rates
Octopus Energy also has its Agile Octopus tariff. It works a little differently from other EV tariffs – here, the rates you pay change every half hour depending on nationwide demand.
As prices change every 30 minutes, with cheaper rates at certain times of the day when nationwide demand is lower, if you can shift your usage outside of peak periods, the tariff could help you save even more. Yet if you need to use lots of energy during peak periods, you could end up paying more.
Agile Octopus is good for those with home batteries, EVs or storage heaters – as these households may be able to more easily shift use outside of peak periods, or they need to use a lot of electricity overnight to charge their EVs. But it can be worthwhile for anyone who can nimbly shift their usage to take advantage of super-cheap off-peak times.
The tariff is electricity-only (so you'll need a separate gas tariff if you have gas) and for existing customers only. If you're not already with the supplier, you'll need to move to its standard tariff first. You'll also need to get a smart meter, if you don't already have one, so if you don't want (or can't get) one, it's not for you.
This means quicker access to falling prices – but if wholesale rates start to climb, so too will the rates you pay.
The tariff has a £1-a-kilowatt-hour maximum cap, so if prices do rise rapidly, there's a limit on what you would pay for each unit of electricity you use.
If you want to leave Agile Octopus, you can switch to the Octopus standard tariff at any time without charge, but you can't move back to Agile or to any other of its smart tariffs within 30 days (however, with Octopus Tracker, you can't go back to that for nine months).
Agile Octopus is the only tariff in the UK that passes 'negative' prices to customers – through what the firm calls 'Price Plunge' events. These happen occasionally, whenever more electricity is generated than consumed, meaning wholesale prices drop below zero for a short period.
Price Plunge events don't happen frequently, but when they do, customers are notified by text, so you can take advantage of being paid to use electricity.
Changes in wholesale prices are reflected in the rates you pay almost immediately
You can GET PAID to use electricity on Agile Octopus
E.on Next Smart Saver - cheaper off-peak electricity for all
Unless you've Economy 7, most time of use tariffs are usually aimed at households with an EV or heat pump. Yet E.on Next has recently launched a time of use tariff available to any dual-fuel or electricity-only household.
The E.on Next Smart Saver tariff offers three electricity rates throughout the day:
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Off-peak (5am-4pm and 7pm-2am) - 20.53 p/kWh.
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Super off-peak (2am-5am) - 16.41 p/kWh.
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Peak (4pm-7pm) – 40.91 p/kWh.
On the Price Cap, until 30 June, you pay 27.03p/kWh, on average (dropping to 25.73p/kWh on average from 1 July) - so both the off-peak and super off-peak rates are much cheaper, yet the evening peak rate is around 40% more than the Cap. So if you can avoid using electricity during that time, you'll likely be able to save against the Price Cap.
However, unless you can fully shift use out of the peak evening period, it's likely most would be better off on one of the cheapest fixes on the market.
The standing charges for both gas and electricity on E.on Next's Smart Saver tariff are set at the Price Cap, while gas rates are slightly cheaper (6.48p/kWh on average compared to 6.99p/kWh under the current Price Cap).
The rates are fixed for 12 months, but there are no early exit fees, so you can switch to another tariff or supplier if you find this isn’t working for you.
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What to do if you're struggling to pay your energy bills
There are three key areas you can focus on:
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Have you got all the help you qualify for? Our What to do if you're struggling to pay your energy bills guide covers everything you can do and where to get help, and has info on all the cost of living support schemes.
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Check you're paying the right amount. You can use our Energy Price Cap Calculator to see how much you'll pay from July.
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Try to cut your energy usage. There are lots of ways to easily reduce what you use. See our Energy saving tips, or the Energy mythbusters guide for less clear-cut issues, and our Heat the human guide.