Energy

Should I switch energy supplier or fix my tariff?

It depends on how fixed deals currently compare with the Ofgem price cap. A fixed tariff locks your unit rates and standing charges for a set period, while a standard variable tariff moves each time the cap changes. Compare the total yearly cost based on your own usage, including any exit fees.

  • The price cap limits standard variable rates
  • Fixed tariffs lock rates for a set term
  • Check exit fees before you switch
  • Your credit balance is protected if a supplier fails

Last reviewed October 2026

How the price cap works

Ofgem's price cap sets the maximum unit rates and standing charges that suppliers can charge customers on standard variable tariffs. It's reviewed every three months. It caps the rates, not your total bill — if you use more energy, you pay more.

Fixed vs variable tariffs

With a fixed tariff, your unit rates and standing charge stay the same for the contract length, even if the cap changes. Leaving early may mean paying an exit fee. A variable tariff can go up or down with the cap and usually has no exit fee.

What to compare

  • Unit rate and standing charge for both gas and electricity
  • Estimated annual cost based on your actual usage (shown on your bill)
  • Contract length and exit fees
  • Whether the tariff suits your meter type, such as Economy 7 or a smart meter

Switching and extra support

Switching typically takes about five working days and your supply isn't interrupted. If you're struggling with bills, contact your supplier, as they must offer help. You can also join your supplier's Priority Services Register if you're eligible for extra support.

If a supplier goes out of business, Ofgem moves customers to a new supplier and protects existing credit balances.

Common questions

Does the price cap limit my total bill?

No. It limits the unit rates and standing charges on standard variable tariffs. Your bill still depends on how much energy you use.

Will my energy supply be cut off when I switch?

No. Your supply continues as normal — only the company billing you changes.

What happens if my energy supplier goes bust?

Ofgem appoints a new supplier for its customers and protects any credit balance you had. You don't need to do anything and your supply continues.

How do I find my energy usage?

Your annual usage in kWh is shown on your bills or annual statement, or in your supplier's app. Using your real usage gives a more accurate comparison than an estimate.

Can I switch if I'm in debt to my supplier?

If you're on a prepayment meter, you can usually switch with a debt of up to a set limit. If you pay by credit and owe money, you'll normally need to clear it before switching.

Important: This page is general information, not financial advice or a personal recommendation. Product features and eligibility vary by provider — check the provider's own terms before you buy or apply.