Millions of Britons are being urged to check their smart meter immediately as energy bills for the average household rise by 13 per cent from today.
Ofgem has raised the energy price cap, which sets the limit suppliers can charge customers of average usage for their gas and electricity, by £221 to £1,862 a year for July to October to September 2026.
Consumer groups are urging the estimated 5.3 million British households on standard tariffs who lack smart meters to take immediate action by recording their current usage.
Without submitting readings, these customers risk being charged at the higher rates for energy they have already consumed before the increase took effect.
Britons are being told to submit a smart meter reading after latest move from Ofgem
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Specifically, the regulator’s price cap determines the maximum unit rates suppliers can charge domestic customers on standard variable tariffs.
Those paying by direct debit will now face electricity costs of 26.11p per kilowatt hour, up from 24.67p, whilst gas charges jump from 5.74p to 7.33p per kWh.
Turmoil in the Middle East as a result of the war between US and Iran has been the primary driver behind the surge in global wholesale energy prices.
The crisis escalated after Islamic Republic blocked the Strait of Hormuz shipping route in response to military action by the United States and Israel, disrupting a critical passage that carries approximately one fifth of global oil and gas supplies.
How has the price cap changed in recent years? | GB NEWS
Ofgem has revealed the annual energy price cap running from July to September | GETTY
This disruption sent wholesale costs soaring, with the impact now being passed on to British consumers through the updated price cap.
Ben Gallizzi, energy spokesman for Uswitch, advised consumers: “There are two crucial things you should add to your to-do list for the coming days: submit a meter reading and get a cheap fixed energy deal.
“Millions of households should take a moment to read their meter at the end of the month to avoid being overcharged for their energy due to higher prices kicking in from July.”
Energy consumers minister Martin McCluskey acknowledged the strain on families, stating: “We know families are deeply concerned about rising energy bills because of a war we did not choose, and we are determined to fight their corner to tackle energy affordability.”
Energy bills could soar even more later this year
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GETTYAnalysts at Cornwall Insight forecast that bills will remain elevated through winter, with only a marginal 0.5 per cent reduction expected in October as a 60-day US-Iran ceasefire provides some market stability.
Cornwall Insight cautioned that uncertainty persists despite the ceasefire, with conflicting reports about reopening the Strait of Hormuz, slow progress in peace negotiations, and unclear timelines for restoring regional infrastructure keeping prices elevated.
The financial pressure on households is already severe, with Ofgem data from earlier this week revealing energy debt has reached an unprecedented £4.79billion in the first quarter of this year, representing a five per cent quarterly increase and 15 per cent annual rise.
Questions remain over whether ministers will introduce targeted support measures ahead of winter, with Rachel Reeves having indicated earlier this year that assistance could be considered if prices stay high.