Households are being urged to act fast and grab a fixed energy deal – or risk seeing their bills rise this autumn.
MoneySavingExpert founder Martin Lewis wrote on X: “NEWS (before it happens)! Tomorrow’s Energy Price Cap announcement is sadly likely to be a 1% RISE on 1 Oct. If you’re not on a fix, consider it asap.”
The watchdog is expected to announce an increase of around 1% from October 1, adding pressure to already stretched household budgets. Analysts forecast the cap will climb from £1,720 to £1,744 for a typical household – a rise of £24 a year.
But those who act quickly could sidestep the increase and lock in savings of more than £100.
EDF yesterday launched its new Simply Fixed Aug26v11 tariff – priced at £1,634 – which undercuts both the current price cap and EDF’s own prediction for October. The deal is £86 cheaper than today’s cap and £110 cheaper than the expected autumn level.
Rich Hughes, Director of Retail at EDF, said: “Although we’re predicting a modest increase of £24 to the Q4 price cap level, it’s important for households to remember the energy market remains very volatile.
“We’re seeing significant changes in our price cap predictions week on week, driven by fluctuations in wholesale energy costs.”
He added: “We know price uncertainty can be worrying for households – especially when heading into winter – which is why we’re pleased to launch our new fixed deal which guarantees savings of over £100 against our new price cap prediction.”
Mr Lewis, who has long been a sceptic of the way the Price Cap works, said:“It is a pants cap, most on it could save £100s by ditching it.”
His MoneySavingExpert site estimates many households can save nearly 15% – about £250 a year – by switching to the cheapest fixes now available, with guaranteed rates for 12 months.
The expected rise means energy bills will stay painfully high into winter, with analysts warning further increases could follow in April and July 2026.
EDF said its fixed deal is open to both new and existing customers, though exit fees of £50 per fuel will apply. The company warned the tariff may be withdrawn at any time if wholesale markets spike again.
Campaigners say the current system leaves two-thirds of households exposed, since most customers are stuck on standard tariffs dictated by the cap.
Mr Lewis added: “For getting a cheap fix right now not to be worth it we’d need to see pretty immediate and monumental falls in wholesale rates – which no one is predicting.”
