What should you actually be paying?

At a glance: are your rates fair?

These gauges show where a fair household rate sits. Green is fair, amber is borderline, and red means it is worth reviewing your tariff. The black marker is the current Ofgem price cap, which is roughly the typical rate most people pay.

Gas and electricity: the fair benchmark

Most households are protected by the Ofgem price cap, which sets the maximum per-unit rate suppliers can charge on a standard variable tariff. For 1 October to 31 December 2026, the typical direct debit rates are:

	Unit rate	Daily standing charge
Electricity	about 26.3p per kWh	about 54.8p
Gas	about 8.0p per kWh	about 29.7p

Two numbers make up your bill: the unit rate (what you pay for each kWh you use) and the standing charge (a fixed daily fee you pay whatever you use). Always compare both. A headline-cheap unit rate with a high standing charge can cost more overall, especially if you do not use much.

A few things worth knowing:

• No VAT on electricity this winter, from 1 October 2026 to 31 March 2027.
• Rates vary a little by region, and by how you pay. Direct debit is usually cheapest; prepayment and paying on receipt of bill can cost more.
• A fixed deal can sometimes beat the cap and gives you price certainty, but check the exit fees before you commit.
• If you can shift use to off-peak times, a time-of-use tariff (cheaper overnight) can pay off, especially with a battery, an EV or a heat pump.

If your unit rates are much higher than the figures above, or you are on a "standard" or "out of contract" rate you never chose, it is worth reviewing.

Getting paid for solar: export rates

If you have solar, you should be paid for the power you send back to the grid. The current scheme is the Smart Export Guarantee (SEG). An older scheme, the Feed-in Tariff (FIT), closed to new entrants in 2019. If you already have FIT, keep it, as it usually pays more; this section is about SEG, for newer systems.

SEG rates vary hugely between suppliers, so it pays to look:

• Basic export-only tariffs: roughly 3p to 6p per kWh. If you are on one of these, you are probably leaving money on the table.
• Best switchable fixed rates: around 12p to 15p per kWh, usually if you also take your import supply from the same company.
• Installer or import-bundled deals: can reach 20p or more, but usually come with conditions, so read the detail.

You need an MCS certificate for your system to claim SEG. If you are on an old or very low export rate, switching could meaningfully increase what you earn. We will happily help you pick a strong export tariff.

For businesses: what to expect and check

Business energy works differently from home energy, and the gaps between a good deal and a poor one are often far wider. The key thing to know: there is no price cap for businesses. Your rates are set entirely by the contract you sign, so the homework matters.

• Prices are quoted without VAT. Most businesses then pay 20% VAT on top, plus the Climate Change Levy. Charities and very low users may qualify for 5% VAT, so check.
• Fixed vs flexible contracts. A fixed contract locks your unit rate for one to five years and gives certainty. A flexible rate tracks the wholesale market, which can win or sting. Most small businesses are better with a fixed term they understand.
• Never drift out of contract. If a contract lapses you roll onto "deemed" or "out of contract" rates, which are among the most expensive there are. Note your contract end date and renewal window and act in good time.
• Check both numbers. As at home, compare the unit rate and the standing charge together, not just the headline rate.
• Watch broker commission. Many business deals come through a broker whose commission is quietly built into your unit rate. Ask any broker to disclose their commission in writing before you sign.
• Larger sites may have half-hourly metering and extra network and capacity charges. Make sure quotes are genuinely like for like.
• Always get more than one quote, and do not auto-renew without comparing.

Businesses can generate too. Rooftop solar used on site typically saves far more than you would earn exporting it, which makes the payback strong, and we can point you to installers with genuine commercial and agricultural experience.

The honest bottom line

There is no single right answer, because it depends on your home or premises, your usage and whether you can shift use to cheaper times. That is the point of our free review: send us a bill, home or business, and we will tell you plainly whether you are on a fair deal.

Benchmarks from the Ofgem price cap and published SEG tariffs, reviewed October 2026. The price cap changes every three months and export rates move too, so we refresh these figures each quarter. Always confirm current rates before switching.