🇬🇧 United Kingdom

Energy Cost Calculator

Estimate your UK energy bill using Ofgem Q1 2026 price cap rates. Calculate electricity and gas costs, see which appliances cost the most to run, and find out how much you could save with simple changes.

kWh/year
Ofgem typical: 2,700 kWh/year
kWh/year
Ofgem typical: 11,500 kWh/year
Direct debit is usually the cheapest option
p/kWh
Ofgem cap Q1 2026: 27.69p/kWh
p/kWh
Ofgem cap Q1 2026: 5.93p/kWh
p/day
Ofgem cap: 54.75p/day
p/day
Ofgem cap: 35.1p/day
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How to Use This Calculator

My Energy Bill tab

Enter your annual electricity usage (in kWh) and gas usage (in kWh). If you don't know your usage, the Ofgem typical values (2,700 kWh electricity, 11,500 kWh gas) are pre-filled. Select your payment method — direct debit is the cheapest. Expand "More options" to override the unit rates and standing charges if your tariff differs from the Ofgem cap.

Cost by Appliance tab

Select a common appliance from the dropdown or enter a custom wattage, hours per day, and days per year. The calculator shows the annual running cost and ranks all common UK household appliances by cost. Use this to identify your most expensive appliances and target savings.

Save Money tab

Enter your current electricity and gas usage and tariff type. The calculator estimates annual savings for each energy-saving measure — from free behavioural changes (turning down the thermostat, washing at 30°C) to investments like loft insulation and smart thermostats — including payback periods.

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Every input is encoded in the URL. Click Share to send your exact scenario to someone, or save it for later.

The Formula

Your energy bill is calculated as follows:

Annual electricity cost = (Electricity kWh × Unit rate p/kWh) / 100 + (Standing charge p/day × 365) / 100

Annual gas cost = (Gas kWh × Unit rate p/kWh) / 100 + (Standing charge p/day × 365) / 100

Total annual cost = Electricity cost + Gas cost

Appliance annual cost = (Watts × Hours/day × Days/year) / 1000 × Unit rate p/kWh / 100

The standing charge is a fixed daily amount charged regardless of how much energy you use. It covers the cost of maintaining the energy network, metering, and government obligations. Even if you use zero energy in a month, you still pay the standing charge.

All prices include VAT at 5% (the reduced rate for domestic energy). The Ofgem price cap sets the maximum unit rate and standing charge that suppliers can charge on their default (standard variable) tariffs.

Example

Sarah — Teacher, 34, Leeds

Sarah lives in a 3-bedroom semi-detached house with gas central heating. She pays by monthly direct debit and uses slightly above-average amounts of both electricity and gas.

My Energy Bill tab

Electricity usage3,200 kWh/year
Gas usage13,000 kWh/year
Payment methodMonthly direct debit
Electricity unit cost£886.08 (3,200 × 27.69p)
Electricity standing charge£199.84 (54.75p × 365)
Gas unit cost£770.90 (13,000 × 5.93p)
Gas standing charge£128.12 (35.10p × 365)
Total annual cost£1,985
Monthly cost£165.41

Sarah's annual bill is £227 above the Ofgem typical household figure of £1,758. She could save money by improving her loft insulation (saving roughly £59/year on gas) and switching to LED bulbs throughout (saving roughly £69/year on electricity).

Cost by Appliance tab

Sarah's tumble dryer (2,500W, used 30 min/day, 200 days/year) costs roughly £69/year to run. Her fridge-freezer (150W, running 24/7) costs about £364/year — the most expensive appliance in her home because it never switches off.

FAQ

The Ofgem energy price cap is the maximum amount that energy suppliers can charge per unit of gas and electricity on their default (standard variable) tariffs. It is set quarterly and includes a cap on both the unit rate and the standing charge. For Q1 2026 (January–March), the cap is 27.69p/kWh for electricity and 5.93p/kWh for gas. The cap does not limit your total bill — the more energy you use, the more you pay.
Check your latest energy bill or your supplier's app — it will show your annual consumption in kWh for both electricity and gas. If you have a smart meter, your In-Home Display (IHD) shows real-time and historical usage. If you cannot find this information, use the Ofgem typical values: 2,700 kWh electricity and 11,500 kWh gas for a medium household.
A standing charge is a fixed daily fee (currently 54.75p/day for electricity and 35.10p/day for gas under the Q1 2026 Ofgem cap) that covers network maintenance, metering, and government scheme costs. You pay it even if you use no energy. A few suppliers offer zero-standing-charge tariffs, but they typically have higher unit rates to compensate. For most households, a standard tariff with a standing charge works out cheaper overall.
The Warm Home Discount provides a £150 rebate on your electricity bill. For 2025/26, you may be eligible if you receive the Guarantee Credit element of Pension Credit (Core Group 1), or if you receive certain means-tested benefits such as Universal Credit, income-based JSA, or income-related ESA (Core Group 2). The scheme has been expanded from October 2025 to remove the "high cost to heat" threshold in England and Wales. You do not need to apply if you are in Core Group 1 — the rebate is applied automatically. Source: GOV.UK.
For most UK homes, gas central heating remains the cheapest option at 5.93p/kWh (Q1 2026 Ofgem cap) compared to electricity at 27.69p/kWh. An air source heat pump can be cost-effective because it delivers 2.5–3.5 kWh of heat per 1 kWh of electricity (a COP of 2.5–3.5), bringing the effective cost down to 8–11p/kWh. The cheapest approach for any heating system is to reduce heat loss first: insulation, draught-proofing, and double glazing. Turning your thermostat down by 1°C saves roughly 3–5% on heating bills.

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