Electricity Cost Calculator UK - Switch Plan (2023)

If you don’t know how much energy you use at the moment, or how much your energy company charges for each kWh you use, calculating the cost of your energy is crucial. Here, we take a closer look at how you can calculate the kWh cost to your home and how you can measure the amount of energy your household is really consuming.

How to calculate kWh cost?

The easiest way to work out how much you pay for each kWh of energy you use is to look at your monthly bill. This should clearly list the cost of each kWh as well as the other fees charged by your energy company.

If you’re on a fixed rate tariff, the amount you pay for each kWh should stay the same for the duration of your contract. This means that, although your energy bill will go up and down depending on your monthly usage, the unit price will stay the same. This can make it easier to budget and keep control of your finances.

If you’ve opted for a variable rate, the amount you pay for a kWh of electricity will fluctuate. If your energy provider doesn’t list the price of a kWh on your bill, you can calculate the cost of a kWh by dividing the amount you’ve been charged by the number of kWh you’ve used – after taking off any standing charges and fees.

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Calculating the cost of your kWh energy consumption

As well as checking the average energy price you pay for a kWh, it’s important to take a look at your appliances to see how much energy they consume. Most household appliances will list their wattage in the instructions or on a label of the device. You can use this information to calculate the kWh cost of the appliance.

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A kWh is the amount of energy you would use if you kept a 1,000 watt appliance on for an hour. So if you have a 1,000 watt electric radiator, it will cost you 1 kWh for every hour it’s switched on. However, if you have a 500 watt vacuum clean, it would take you two hours to consume 1 kWh of energy.
Some of the most energy-hungry appliances found in the home are:

  • Central heating
  • Fridge freezer
  • Tumble dryer
  • Washing machine
  • Oven
  • Kettle
  • Toaster

Who is the cheapest energy supplier?

To give you a better sense of the prices of energy tariffs, we present the 3 cheapest energy tariffs in the UK. However, these depend on several factors.

However, it is possible to make some general assumptions about energy use and find the cheapest supplier for these average scenarios. Going by the average use statistics for the UK, as supplied by the regulator Ofgem, the following table shows the cheapest providers for a medium energy user in the UK.


Cheapest Dual Fuel Tariffs
SupplierTariff NameAvailabilityAnnual costs electricityAnnual costs gasAnnual costs dual fuelGreen Tariff**
£ 0.00*£ 0.00*£ 0.00*✖️
/£ -*£ -*£ 1,054.46*✖️
/£ -*£ -*£ 1,084.62*✖️

All live tariff rates are updated weekly. Prices vary from one city to another, so we chose to display national averages. The prices are pounds per year.
Based on Ofgem’s Typical Domestic Consumption Values (TDCV): 2,900.00 kWh of electricity and 12,000.00 kWh of gas per year.
A tariff is green if for each kWh consumed a kWh of renewable energy is injected in the grid.

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Cheapest Energy Live Tariffs

The following offers are all available at the moment.


Cheapest Dual Fuel Live Tariffs
SupplierNameTypeAvailabilityAnnual CostGreen Tariff
Dual Fuel0.00*✖️
Dual Fuel/1,462.59*✖️
Dual Fuel/1,473.96*✖️

All live tariff rates are updated weekly. Prices vary from one city to another, so we chose to display national averages. The prices are pounds per year.
2,900.00 kWh of electricity and 12,000.00 kWh of gas per year on average, according to Ofgem’s Typical Domestic Consumption Values (TDCV).
Is a Green tariff if all the energy consumed is compensated by renewable energy injections in the grid.


Is electricity expensive in UK?

Electricity in the UK is relatively expensive compared to other countries around the world. This is due to a number of factors. For a start, most of the countries with cheaper energy have plentiful supplies of oil and gas. We also pay slightly more because UK households contribute a lot towards green energy schemes and other carbon levies.

However, UK energy prices are comparable with those in other European countries. When you calculate the cost of a kWh, electricity in the UK is actually cheaper than some of our neighbours including Germany, Denmark and Ireland.

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The list below shows how energy prices in the UK stack up to the rest of the world.

  • Kuwait – $0.03
  • Saudi Arabia – $0.05
  • China – $0.08
  • USA – $0.15
  • France – $0.21
  • UK – $0.26
  • Ireland – $0.28>/li>
  • Denmark – $0.33
  • Germany – $0.38

Electricity Cost Calculator UK - Switch Plan (7)

How did kWh prices evolve over time?

Like all commodities, the cost of electricity fluctuates over time. While prices have dipped occasionally in recent years – most notably after the 2008 financial crisis – in general, the cost of a kWh has been steadily going up. For example, in 2004, households paid an average of 8.9p for a kWh of electricity. Just four years later in 2008, that had risen to 13.2p and by 2014, it was up to 14.5p. That’s a significant increase of 63% in just ten years.

Average annual bill per region

The cost of electricity can vary considerably depending on which region you live in. This is why energy providers always ask for your postcode before showing you the tariffs available. The table below highlights the regional price differences in dual fuel energy bills.

RegionCheapest dual fuel deal available
East Anglia£807
East Midlands£809
London£829
North East£799
North West£826
Scotland£823
South East£838
South West£842
Wales£850
West Midlands£812
Yorkshire-Humberside£792

Here are just a few reasons why energy prices change depending on your location.

  • Supply and demand – how much demand is there for electricity in your area?
  • Energy generation – is electricity generated in your area?
  • DNO charges – how much does your Distribution Network Operator charge your supplier for electricity in your area?

Would you like to know more about energy in the UK? Great! Here are some related articles

  1. Energy consumption
  2. KWh

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FAQ

What is a good price for electricity per kWh?

The prices of a kWh in the UK can vary from as little as 12p to as much as 24p. Lower prices are generally available on fixed term tariffs. The average cost of a kWh hour in the UK is 14-15p, so if you find a supplier that’s offering you a kWh for 15p or less, it’s a pretty good deal.
However, when comparing energy prices, it’s important to look at the standing charges. These are the fees that you pay your energy company for being connected to the grid. A lot of the time, you’ll find that energy companies which offer very low kWh prices have high standing charges. This can significantly increase the overall cost of your monthly bill.

Who has the cheapest electricity per kWh?

At the moment Neon Reef has the cheapest electricity per kWh. The company charges just 12p per kWh its customers use. However, energy prices can go up and down quickly so make sure you check all available deals before switching.

Are business electricity rates cheaper than domestic?

In general, the kWh cost calculated for businesses is lower than that for domestic use. This is largely because most businesses use high volumes of energy and so get discounts for bulk use. Businesses also often sign up for longer energy contracts than domestic users. However, as business users pay 20% VAT, compared to just 5% for domestic customers, the difference in price isn’t as big as it first seams.

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Electricity Prices per kWh per region

The cost of a kWh varies from region to region. Yorkshire has some of the cheapest electricity in the UK while people living Wales pay some of the highest rates for their power. To find out how much a kWh costs near you, get in touch with a member of our team.

FAQs

How much can you save by switching energy supplier? ›

Some businesses can save up to 45% per year by switching their energy supplier, so it's always worth comparing providers and using a partner to find you the best deal. Your savings will be based on many different factors so you should include as much information as possible when looking to switch.

Is it worth switching energy suppliers right now? ›

Switching energy is easy. It's the same pipes, gas, meter and safety – you don't lose supply – the only difference is price and customer service. Yet with the energy market in crisis, there's currently nothing meaningfully cheaper than the price cap, so for most it won't be worth switching right now.

What is a good electricity rate UK 2022? ›

A 'floor' unit price for gas averaging at 10.3p/ kWh and for electricity averaging at 34p/ kWh for direct debit customers will be introduced, because some people will have fixed at much lower prices some time ago, meaning their annual payments will already be below the £2,500 average set by the Energy Price Guarantee.

What is the energy price cap per kWh 2022? ›

What's the maximum charge for a single unit of electricity or gas from 1 October 2022? So, from 1 October 2022, if you're on a standard variable tariff paying by direct debit, the average unit price will be frozen at 34.0p/kWh for electricity and 10.3p/kWh for gas (including VAT).

Should I fix my energy prices until 2024 UK? ›

You should only fix your energy prices until 2023 if you can source a cheaper fixed tariff than that of the October 2022 price cap increase.

Who is the cheapest energy supplier in the UK 2022? ›

Octopus Energy say setting their prices at £50 below the cap level will cost them around £50m in lost revenues over six months. £50 savings may be small, but it at least sets Octopus apart and allows us to say their SVT is the cheapest available from April to October 2022.

Is it better to go fixed or variable energy 2022? ›

You will benefit from set rates that will protect you from energy price hikes and make it easier to take control of your utility bills. However, fixed tariffs can be more expensive and often come with large exit fees and other contractual conditions.

What does Martin Lewis say about energy prices? ›

Martin Lewis urges more support from government once energy price guarantee ends. Martin Lewis has urged the government to come up with a support package which will continue to aid households with energy bills, after Jeremy Hunt revealed the energy price guarantee will only remain in place until April next year.

Is it better to be on a fixed energy tariff or variable? ›

Fixed rate tariffs are often cheaper than variable rates, and the choice is wide because almost all suppliers offer them. Your supplier has to let you know when there are just 49 days of the deal remaining, and you can switch to another deal during this period without paying an exit fee.

Should I fix my energy prices until 2024? ›

You should fix your energy prices until 2023 if you can get a cheaper fixed than the October 2022 price cap increase. However, it is difficult to find an energy tariff worth switching to - and when a tariff becomes available, they are only up for a short amount of time.

Will energy prices rise in 2022 UK? ›

Many consumers were protected, at least initially, by the energy price cap. It was increased by 12% in October 2021, but rising wholesale prices led to a much larger increase of 54% in April 2022. Continued incraeses in wholesale prices led Ofgem to annouce a further planned increase of 80% on 1 October 2022.

How many kWh per day is normal? ›

That means the average household electricity consumption kWh per day is 28.9 kWh (867 kWh / 30 days).

Who has the cheapest electricity per kWh UK? ›

Unit Cost of Electricity per kWh in the UK

For a number of years, Yorkshire has been known to have the cheapest electricity rates in the country. However, in 2021, residents paid only 4% less than the average electricity cost per kWh.

Will electricity prices go up in October 2022? ›

In light of the recent increase in the cost of wholesale gas, the price suppliers need to charge per unit of energy has gone up significantly. To help protect consumers, the Government has announced the Energy Price Guarantee which comes into effect on 1 October 2022.

What is the average UK electricity price per kWh? ›

The average price for electricity in January to March 2021 was 17.15 pence per kWh, up by 6.8 pence per kWh (or 66 per cent) than January to March 2021. The price for gas was 4.62 pence per kWh, which more than doubled - up by 2.9 pence per kWh (162 per cent) - over the same time period.

Is it best to switch to a fixed energy tariff? ›

Fixed-rate tariffs ultimately depend on the conditions of the energy market – if wholesale prices are high, fixed deals will be less attractive. Generally speaking though, if market conditions are good and you shop around, a fixed-rate tariff will be better value than a variable-rate one.

Will energy prices go down in 2023 UK? ›

Big Zero Report 2022

Moments after the Chancellor's announcement yesterday, consultants predicted that the average consumer would pay £4,348 per year from April to June 2023. Cornwall Insight forecasts that this price cap level is likely to fall to £3,697 in July.

Will electricity prices go up in 2023? ›

Unfortunately, bills are set to remain high in 2023 compared to what they would be under the Energy Price Guarantee, based on current wholesale pricing.

What will happen to the energy price cap in April 2022? ›

prices will be fixed at 21.1p per kWh for electricity and 7.5p per KWh for gas. the government says this is less than half the wholesale prices expected this winter. organisations on fixed price contracts will be eligible if their deal started after 1 April 2022.

Who has the best energy deals 2022? ›

Octopus Energy came out on top as the best energy supplier for the second year running with an overall customer score of 83%. Ebico was rated second overall with a 79% customer score. They were closely followed by both Bulb Energy and Pure Planet who were just one percentage point behind on 78%.

Who is offering the best energy deals? ›

The best energy suppliers in 2022
  1. Octopus Energy: The ultimate for customer service, value and more. ...
  2. Utility Warehouse: A great service with good complaint numbers and handling. ...
  3. Ovo Energy: One of the best but gets lots of complaints. ...
  4. Bulb Energy: Not as good as it once was but bills are clear.
10 Oct 2022

What happens if you use less energy than your fixed tariff? ›

It's the cost of the energy unit that is frozen. So, if you are on a fixed plan and use more or less energy in one month compared to another, your bill will still change accordingly. Fixed-price tariffs offer the protection of locked prices and competitive market rates.

What should I do when my fixed rate energy tariff is ending? ›

If your fixed tariff has already ended, you can still switch supplier or tariff. Contact your supplier to ask about their other tariffs or check how to switch supplier. You should complain to your supplier if they: don't remind you about the end of your contract.

Will energy prices fall in 2022? ›

Energy prices are unlikely to fall in 2022 or beyond – not until major importers get serious about green transition.

Will energy prices go down again? ›

Some estimates suggest that energy bills could remain high until 2024. It's difficult to know exactly when energy bills will go down, as international gas prices are continuing to fluctuate.

How much is the price cap on energy going up? ›

Ofgem have announced that from 1 October, most people will pay about £1,570 more per year for gas and electricity. This increase is because the energy price cap, set by energy regulator Ofgem , is set to jump by 80 per cent to reflect rising wholesale energy costs for energy suppliers.

How much are energy prices expected to rise by? ›

The energy price cap will rise by an average 80% on 1 October 2022. For a typical household paying by direct debit it's now £1,971 a year, but it's set to rise to £3,549 a year. If you're on prepay, the price cap is currently £2,017 a year on typical use, but it's set to rise to £3,608 a year on 1 October.

Should I move to a variable energy tariff? ›

There are no right or wrong answers when choosing between a fixed or variable energy plan. The best type of energy tariff for your home depends on what you think energy prices will do in the future and your attitude to risk. Compare energy suppliers to find the best deal for you.

Are variable energy tariffs capped? ›

A standard variable tariff can't be higher than the price cap. Energy suppliers have different names for their default tariffs. If you aren't sure what tariff you're on, your energy supplier will be able to tell you.

What is the standard variable tariff? ›

If you get a standard variable tariff it means the rate you pay for energy will go up or down when global energy prices change.

Is Octopus energy in trouble? ›

Octopus Energy reports close to breakeven financial results but predicts it will take a £100m hit from energy crisis. Greg Jackson, Octopus Energy Group CEO, said "2022 will be tough in energy." Image: Octopus Energy.

Are EON offering fixed tariff? ›

There are two types of electricity and gas tariffs that we offer: fixed and variable. With fixed or fixed rate tariffs you'll pay the same amount for each kWh of energy you use.

Is it cheaper to use gas or electricity 2022? ›

Is electric heating cheaper than gas? No. When it comes to using energy, gas is typically cheaper than electricity. Looking Ofgem's price cap rates, gas has gone up to 10.3p per kWh from October 1, 2022 from 7p and electricity up to 34p per kWh, from 28p.

Are energy bills going up in January 2023? ›

Consultancy firm Cornwall Insight has predicted the energy price cap will rise sharply in 2023. Ofgem has announced that its energy price cap will increase by 80% from October. The cost of living crisis is seeing energy prices soar to new highs, with further hikes predicted in 2023.

Why is electricity so expensive in UK? ›

Energy bills are rising as a result of rocketing gas prices, which have increased 11-fold since 2019. The UK is particularly exposed to high gas prices, because 85% of households use gas boilers to heat their homes and around 40% of electricity is generated in gas-fired power stations.

Is 30 kWh a day a lot UK? ›

The following figures give an estimate of the average electricity usage and average gas usage per day in the UK: Electricity - between 8 and 10 kWh per day. Gas - between 33 and 38 kWh per day.

How many kWh per month is normal UK? ›

Your average energy bill by house size and usage

According to Ofgem, the average British household has 2.4 people living in it and uses 2,900 kWh of electricity and 12,000 kWh of gas. This works out at 242 kWh of electricity and 1,000 kWh of gas per month.

How many kWh does an average house use per day UK? ›

The average kWh per day in a UK household is between 8.5 to 10 kWh. Many elements can influence your average energy consumption and how much you pay for your electricity – including the equipment that you use.

Is electricity cheaper at night UK? ›

Off-peak times vary slightly depending on the supplier, but they are usually between 10pm and 8am. This is when the least energy is taken from the grid and so energy suppliers can afford to offer cheaper prices.

How much does cost to boil a kettle? ›

To boil a cup of water in a kettle, it will currently cost you about 1.28p, based on an average 3kW kettle taking around 45 seconds to boil. That is based on the current price for a unit of electricity being 34p per kWh.

Should I fix my energy prices until 2024 UK? ›

You should only fix your energy prices until 2023 if you can source a cheaper fixed tariff than that of the October 2022 price cap increase.

What is the average cost per kWh of electricity UK 2022? ›

A 'floor' unit price for gas averaging at 10.3p/ kWh and for electricity averaging at 34p/ kWh for direct debit customers will be introduced, because some people will have fixed at much lower prices some time ago, meaning their annual payments will already be below the £2,500 average set by the Energy Price Guarantee.

What will the energy price cap be in October 2022? ›

What's the maximum charge for a single unit of electricity or gas from 1 October 2022? So, from 1 October 2022, if you're on a standard variable tariff paying by direct debit, the average unit price will be frozen at 34.0p/kWh for electricity and 10.3p/kWh for gas (including VAT).

How much does it cost to run an oven for 1 hour UK 2022? ›

On average, an electric range oven consumes 0.8kWh of energy every hour. So, it costs around 40p to run an electric oven per hour.

How many kWh per month is normal? ›

In 2021, the average annual electricity consumption for a U.S. residential utility customer was 10,632 kilowatthours (kWh), an average of about 886 kWh per month.

Who is the cheapest electricity supplier in UK? ›

Cheapest energy providers: April 2022
SupplierMonthly cost
Cheapest SVTSquare1£151.50
Cheapest VariableUtility Warehouse£161.26
Cheapest FixedBritish Gas£219.82
Energy Price CapMost Providers£164.25
26 Mar 2022

Is it worth switching to a fixed energy tariff? ›

Fixed-rate tariffs ultimately depend on the conditions of the energy market – if wholesale prices are high, fixed deals will be less attractive. Generally speaking though, if market conditions are good and you shop around, a fixed-rate tariff will be better value than a variable-rate one.

Is it better to stay on variable energy? ›

If you're on your supplier's standard variable rate tariff (SVR), you should definitely switch – you're paying more for your energy than you need to. Fixed tariffs give you a certain amount of peace of mind – they're less of a gamble and you don't have to worry about price rises. And in many cases they're cheaper too.

Can energy suppliers change 2022? ›

Consumer protection law says you must be able to choose your energy supplier if it is your responsibility to pay energy bills. Your landlord could be responsible for paying energy bills if they: pay the supplier directly and reclaim the money from you as a tenant.

Will energy prices fall in 2022? ›

Energy prices are unlikely to fall in 2022 or beyond – not until major importers get serious about green transition.

What happens if you use less energy than your fixed tariff? ›

It's the cost of the energy unit that is frozen. So, if you are on a fixed plan and use more or less energy in one month compared to another, your bill will still change accordingly. Fixed-price tariffs offer the protection of locked prices and competitive market rates.

Will my energy bills go up if I'm on a fixed tariff? ›

If you're on a fixed tariff

Your supplier can't increase the price you pay, unless the government has raised VAT. If you're not sure if you're on a fixed tariff, check your bill. If it says your contract has an end date, this means you're on a fixed tariff. Fixed tariffs usually last for a year.

Who has the cheapest electricity per kWh UK? ›

Unit Cost of Electricity per kWh in the UK

For a number of years, Yorkshire has been known to have the cheapest electricity rates in the country. However, in 2021, residents paid only 4% less than the average electricity cost per kWh.

Are variable energy tariffs capped? ›

A standard variable tariff can't be higher than the price cap. Energy suppliers have different names for their default tariffs. If you aren't sure what tariff you're on, your energy supplier will be able to tell you.

What is British Gas variable rate? ›

This followed the August 2021 announcement that the price cap rate would be increasing to its highest ever level of £1,277 from October 2021. British Gas therefore announced a 12% increase to the price of its Standard Variable tariff to £1,277, which came into effect on 1 October 2021.

Should I fix my energy prices until 2024? ›

You should fix your energy prices until 2023 if you can get a cheaper fixed than the October 2022 price cap increase. However, it is difficult to find an energy tariff worth switching to - and when a tariff becomes available, they are only up for a short amount of time.

Who has the best energy deals 2022? ›

Octopus Energy came out on top as the best energy supplier for the second year running with an overall customer score of 83%. Ebico was rated second overall with a 79% customer score. They were closely followed by both Bulb Energy and Pure Planet who were just one percentage point behind on 78%.

Is Octopus the cheapest energy supplier? ›

Our gas prices are still cheaper than any other large supplier. If your electricity is on a fixed or smart tariff, we've already priced your electricity as low as we possibly could (as though it includes the Loyal Octopus support).

What is the average energy bill in the UK? ›

However, the average UK electricity bill at the end of 2021 was £769 per year. This is an increase of £64 compared to 2020 and shows the current trend of the UK energy market. It is expected that the energy price cap will increase again in October 2022.

Who is the cheapest of the big six energy suppliers? ›

British Gas has the cheapest tariff of the big six, though there are a few good deals from some of the other major suppliers (all are one-year fixes and average prices are based on typical use).

Is EDF Energy the cheapest? ›

You'll likely find that EDF Energy tariffs are more expensive than less-known providers like Octopus and Bulb. There are many tariffs on offer though, ranging from relatively cheap deals to more expensive ones. EDF offers a range of fixed price tariffs, alongside its standard variable tariff (SVT).

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