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Energy Price Cap Forecast April 2027: £2,049 to £2,211

Suppliers forecast the April 2027 price cap at £2,049 to £2,211 a year. Only OVO says how it treats VAT on electricity. Ofgem confirms it on 23 February.

Portrait of Margaux Carluer
Margaux Carluer

Co-Founder & CFO/CCO

  • Published
  • Updated
  • 6 min read

Forecast, not confirmedApplies from

Applies to
  • Households in England, Scotland and Wales on a default tariff
  • Households deciding whether to fix before April 2027
Energy Price Cap Forecast April 2027: £2,049 to £2,211 article image

Quick answer

Supplier forecasts for the April to June 2027 cap, updated between 7 and 15 October 2026, run from £2,049 (OVO) to £2,211 (E.ON Next) a year for typical use, against £1,723 now, or £1,935 on the previous basis. All carry low-confidence labels. VAT on electricity is due to return on 1 April 2027 unless the government extends the zero rate. Ofgem confirms the cap on 23 February 2027.

Check your own tariff before the cap changes

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Four supplier forecasts for the April to June 2027 energy price cap, updated between 7 and 15 October 2026, run from £2,049 to £2,211 a year for a typical dual-fuel household paying by Direct Debit. That compares with £1,723 today on Ofgem's current measure, or £1,935 on the previous basis. Cornwall Insight has not published an April figure, and only one supplier says how its forecast treats VAT on electricity, which is due to return on 1 April 2027. Ofgem confirms the cap on 23 February 2027. Facts below were checked on 15 October 2026.

Every figure here is a forecast, not a tariff offer or a maximum bill.

What do the forecasts say for April 2027?

Each figure below comes from the forecaster's own page, read on 15 October 2026. All four use Ofgem's current typical use of 2,500 kWh of electricity and 9,500 kWh of gas a year, for dual fuel paid by Direct Debit. The change column is our arithmetic against October's cap of £1,723 on the same measure (£1,935 on the previous basis).

ForecasterApril to June 2027Change on October (our arithmetic)Forecaster's confidence labelConsumption basisDatedSays how it treats VAT on electricity from April?
OVO£2,049+£326 (18.9%)Very low2,500 / 9,500 kWh, Direct DebitUpdated 7 October 2026Yes: VAT at rates from 1 October 2026, 0% on electricity
British Gas£2,190+£467 (27.1%)Very low2,500 / 9,500 kWh, Direct DebitUpdated 15 October 2026Not stated
EDF£2,204+£481 (27.9%)Very low2,500 / 9,500 kWh, Direct DebitTables updated 13 October 2026Not stated
E.ON Next£2,211+£488 (28.3%)Lowest2,500 / 9,500 kWh, Direct DebitAs of 12 October 2026Not stated

British Gas rounds its forecasts up to the nearest £5. EDF publishes its forecasts in an interactive table on its predictions page. Cornwall Insight's predictions page, updated on 14 October 2026, still forecasts January to March 2027 only; our January 2027 forecast covers it.

All four suppliers expect April to be well above today's cap. Against their own January forecasts, British Gas, EDF and E.ON Next expect April to be higher again, while OVO expects it to dip by £25. EDF's page says prices are likely to rise again in January and April before easing later in the year.

How do the forecasts move through the rest of 2027?

All four forecast July to September 2027, and OVO and EDF go on to October to December. All four expect the cap to ease from July. Figures are from the same pages, on the same basis.

ForecasterJanuary to March 2027April to June 2027July to September 2027October to December 2027
OVO£2,074£2,049£1,861£1,846
British Gas£2,185£2,190£1,975Not published
EDF£2,148£2,204£1,981£1,961
E.ON Next£2,130£2,211£2,000Not published

The further ahead a forecast looks, the less certain it is. Every supplier labels its April and later figures very low or lowest confidence, and British Gas says it updates its forecasts every week.

Will VAT come back on electricity on 1 April 2027?

It is due to. GOV.UK says the temporary zero rate on qualifying domestic electricity in Great Britain applies from 1 October 2026 to 31 March 2027, and expects suppliers to change the rate back from 0% to 5% when it ends. Gas stays at 5% throughout, and electricity in Northern Ireland never left 5%.

What it adds back:

  • On Ofgem's typical electricity use of 2,500 kWh, October's average Direct Debit rates (26.32p per kWh and 54.83p a day) make a yearly electricity bill of £858.13 with no VAT. 5% of that is £42.91, about £43 a year (Taupia's arithmetic).
  • Ofgem said in August that the October cap would have been around £45 higher without the VAT change.
  • Homes that heat with electricity feel it more. Ofgem's typical Economy 7 bill is £1,046 a year for October to December 2026, so 5% VAT would add about £52 a year at those rates (Taupia's arithmetic).

The forecasts do not settle this. OVO says its costs include VAT at the rates from 1 October 2026, 5% for gas and 0% for electricity. British Gas, E.ON Next and EDF do not say how their April figures treat VAT. If a forecast leaves VAT out and the zero rate ends as planned, its April figure would be about £43 too low for typical use.

Our electricity VAT guide covers what the cut means for fixed tariffs and how to check your supplier passed it on.

What could change before Ofgem decides?

  • 28 October 2026: the Budget. GOV.UK confirmed the date in the Chancellor's letter of 31 July 2026: "The Budget will be held on 28 October 2026." Any extension of the zero rate would be announced by the government, not Ofgem.
  • 25 November 2026: Ofgem announces the cap for 1 January to 31 March 2027.
  • 23 February 2027: Ofgem announces the cap for 1 April to 30 June 2027.
  • 26 May 2027: Ofgem announces the cap for 1 July to 30 September 2027.

Ofgem says it may publish before any of these dates if it needs to. Until 23 February every April figure is a forecast, and forecasts move with wholesale prices: the gap between the lowest and highest April forecast is already £162.

What the forecast means for your household

The headline figures assume dual fuel, Direct Debit and Ofgem's typical use. The cap limits unit rates and standing charges, not your bill, and those rates differ by region and payment method. Our energy price cap rates by region show the October to December 2026 rates for all 14 regions, and the UK energy price cap guide tracks every confirmed level.

The cap covers default tariffs in England, Scotland and Wales. It does not cover Northern Ireland or an active fixed tariff.

Should you fix before April 2027?

A forecast does not change a fixed deal you already have. If you are deciding now:

  1. Price the fix on your own usage for a full year, including standing charges.
  2. Compare it with the forecasts for the months it would cover, remembering that April onwards carries the least confidence.
  3. Ask what VAT rate a quoted annual cost assumes after 31 March 2027.
  4. Check the exit fee, in case the cap falls and you want to leave.

Our guide to fixing before the January 2027 cap works through the arithmetic with national rates and sets out who should not fix.

When we will update this page

We will update the tables after the Budget on 28 October, when Ofgem announces the January cap on 25 November, when Cornwall Insight publishes an April figure, and on 23 February 2027, when the confirmed April cap replaces the forecasts.

Where Taupia fits

Taupia monitors your energy bills, compares tariffs against your own usage and switches only once you approve. It is free, and it never guarantees a saving.

Key takeaways

  • Supplier forecasts for April to June 2027, dated 7 to 15 October 2026, range from £2,049 to £2,211 a year for typical use, each with a very low or lowest confidence label.
  • Cornwall Insight's page, updated 14 October 2026, forecast January to March 2027 only.
  • The zero rate of VAT on domestic electricity in Great Britain is due to end on 31 March 2027. 5% VAT on Ofgem's typical electricity bill is about £43 a year (Taupia's arithmetic).
  • Only OVO says how it treats VAT: its figures use the rates from 1 October 2026, with no VAT on electricity.
  • The Budget is on 28 October 2026. Ofgem announces the January cap on 25 November 2026 and the April cap on 23 February 2027.

Frequently asked questions

What is the April 2027 energy price cap forecast?

Four suppliers forecast it between £2,049 and £2,211 a year for typical dual fuel use by Direct Debit: OVO £2,049, British Gas £2,190, EDF £2,204 and E.ON Next £2,211, updated between 7 and 15 October 2026. Cornwall Insight had not published an April figure. None is confirmed until Ofgem's announcement on 23 February 2027.

Will VAT go back on electricity in April 2027?

GOV.UK says the zero rate of VAT on domestic electricity in Great Britain runs from 1 October 2026 to 31 March 2027, after which suppliers change back to 5%, unless the government extends it. On Ofgem's typical electricity bill at October rates, 5% VAT would add about £43 a year (Taupia's arithmetic).

Do the April 2027 forecasts include VAT on electricity?

Only OVO says. Its figures use the VAT rates in force from 1 October 2026, which means 0% on electricity. British Gas, E.ON Next and EDF do not say how their April figures treat VAT, so a forecast that leaves it out could be about £43 too low if the zero rate ends as planned.

When will Ofgem announce the April 2027 price cap?

Ofgem's timetable gives 23 February 2027 for the cap covering 1 April to 30 June 2027, after 25 November 2026 for the January to March cap. Ofgem says it may publish earlier if it needs to. The new rates apply from 1 April 2027.

Should I fix my energy before April 2027?

A forecast does not change a fixed deal you already have. If you are deciding now, compare a fix's yearly cost on your own usage with the forecasts for the months it covers, ask what VAT the quote assumes after 31 March 2027, and check its exit fee before you agree.

Sources