Energy Price
Cap explained
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Energy Price
Cap explained
Our energy price cap forecast
We’re here to keep you informed, so you can make the right choices about your energy. Based on the latest data, we expect the April price cap to rise to £1,837¹—an increase of £99 from January’s cap.
Sainsbury’s Energy price cap predictions for April 2025 - October 2025
April 2025
Price cap prediction: £1,837
Change from previous price cap: +£99
July 2025
Price cap prediction: £1,860
Change from previous price cap: +£23
October 2025
Price cap prediction: £1,847
Change from previous price cap: -£13
1 Please note that this figure is our guidance and isn’t guaranteed.
Changes from 1 January 2025
Ofgem set the January price cap. It changed to £1,738 for the average household paying by Direct Debit. This figure uses Ofgem’s new definition of ‘average energy use’ known as the Typical Domestic Consumption Values (TDCV).
Price cap
Ofgem’s price cap changed on 1 January 2025.
Customers on our Sainsbury’s standard variable tariff, would have received a letter or email detailing the changes to their unit prices and standing charges for the period of 1 January to 31 March.
The specific standing charges and unit rates each customer sees will vary by region, how you pay your bill and type of meter installed. This is to reflect the different costs to suppliers of providing energy to homes and servicing the different payment methods. The regional variations for electricity, and payment type variations, have been adjusted by Ofgem in the most recent price cap calculations.
EBSS
The Energy Bills Support Scheme (EBSS) was a government scheme that provided a £400 discount on energy bills for domestic electricity customers in Great Britain from October 2022 to March 2023.
EPG
The government’s Energy Price Guarantee (EPG) is a discount that aims to keep the average household bill below £2,500 (October 2022 to June 2023). The EPG ended on 31 March 2024.
Learn more about the EPG and EBSS.
We are here to help you in any way we can through these changes. If you need support or are struggling to pay your energy bills we have a range of help and advice available to you.
Struggling to pay
If you’re having trouble paying your energy bills, we’re here to help. With access to expert advice and financial assistance, we can help you get the right support. Find out more about the assistance on offer for Sainsbury’s Energy customers.
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What is the price cap?
The price cap was introduced by the government back in 2019. It caps the price you pay per unit for your energy, as well as the standing charge, whilst on a standard variable tariff.
Since October 2022, electricity and gas prices are reviewed by the energy regulator Ofgem every three months - January, April, July and October. It is calculated and set by Ofgem to reflect changes in industry costs
The price cap level is set for customers in England, Wales and Scotland. Retail energy prices in Northern Ireland are not subject to a cap.
Am I affected by the price cap?
The price cap affects customers on a standard variable tariff and our Track and Reward tariff. The price cap does not apply to you until the end of your contract if you’re on a fixed energy tariff. Find out which tariff you’re on by logging in to your account.
If you’re on our standard variable tariff, we’ll contact to you to explain how these changes affect you. If you’re on our Fix & Reward Tariffs, your prices will stay the same until your tariff term ends. We’ll contact you when your fixed tariff term is about to end with guidance for what to do next.
Our April 2025 price cap prediction is based on a typical dual fuel customer paying by Direct Debit, using Ofgem’s Typical Domestic Consumption Values (2,700kWh of electricity and 11,500kWh of gas per year). We calculate this using Ofgem’s methodology, factoring in market prices and our forecast of other costs. As of 17 February 2025, we expect the April price cap to rise to £1,837, but this may change if wholesale energy costs fluctuate.