Price cap changes:

supporting our members

We understand that lots of our members are feeling worried about changes to the energy price cap. That’s why we’ve pulled together some information here to help you understand what’s happening – and how we can help.

The price cap change applies to members on variable plans, and we’ve been in touch with everyone who's affected. 

If you need urgent financial support, we can help with this.

Find out more

What the price cap is and why it’s rising

The energy price cap is set by the regulator Ofgem, and it puts a limit on the prices that energy companies can charge for variable plans. 

These plans are priced in line with the cost of wholesale energy (the price we pay to buy energy from the companies that generate it).

Wholesale prices have risen significantly – high above the price cap. Which means suppliers have had to buy energy for a much higher price than they’re able to sell it for.

On 1 April 2022 Ofgem raised the price cap to reflect the rises in wholesale prices.

What’s causing energy prices to rise

Over the last year, the average cost of wholesale energy has more than doubled. This huge rise has been driven by a number of things, including:

  • An increase in global demand for energy as countries return to normal after lockdowns
  • And a decreased gas supply coming from Russia into Europe 

These factors are really complex, and unusual. We’ll be keeping our members updated on how it affects them as the situation develops.


Price Cap Rise

What’s causing energy prices to rise

Over the last year, the average cost of wholesale energy has more than doubled. This huge rise has been driven by a number of things, including:

  • An increase in global demand for energy as countries return to normal after lockdowns
  • And a decreased gas supply coming from Russia into Europe 

These factors are really complex, and unusual. We’ll be keeping our members updated on how it affects them as the situation develops.


Price Cap Rise

Financial support: we’re here to help

If you’re struggling to pay for your energy, please know that we’ve supported lots of people in similar situations – and we can support you too. There are different options, which can be tailored to you – such as setting up a payment plan, which spreads the cost of your energy to make it more manageable. 

Our dedicated team can also make sure you’re receiving any financial assistance from the government that you’re eligible for – and take you through payment support schemes that are available. You can find out about these in the section below too.

Find out more
Financial support: we’re here for you

Financial support: we’re here to help

If you’re struggling to pay for your energy, please know that we’ve supported lots of people in similar situations – and we can support you too. There are different options, which can be tailored to you – such as setting up a payment plan, which spreads the cost of your energy to make it more manageable. 

Our dedicated team can also make sure you’re receiving any financial assistance from the government that you’re eligible for – and take you through payment support schemes that are available. You can find out about these in the section below too.

Find out more
Financial support: we’re here for you

Payment schemes and benefits that can help

These government-run schemes could also help you with your energy bills.

Fuel Direct Scheme

The Fuel Direct scheme helps to pay your energy bills directly from your benefits (the scheme is run by the Department for Work and Pensions). For more information, contact Job centre Plus or your pension centre if you’re on Pension Credit.

Cold Weather Payment

A Cold Weather Payment might be available to you, if you’re getting certain benefits. These payments are made if the temperature in your area is forecasted or recorded to be 0C or below for over 7 days in a row. 

Find out more and see if you’re eligible here.

Winter Fuel Payment

This is available to people who were born on or before 26 September 1955. It’s an annual one-off payment between £100 and £300, to help pay for your heating over the winter. 

Find out more about the Winter Fuel Payment here.

Warm Home Discount Scheme

You might be eligible for £140 credit towards your energy bills through the Warm Home Discount Scheme. Although applications have closed for this winter, they’ll reopen later in the year for next winter.

Find out more about the Warm Home Discount here.

Useful steps to take in managing your energy account

Here, we’ve included some other information that might help you. It’s easiest to manage these steps through your online account. If you don’t have one you can set one up here.

Switching to Direct Debit

You could save up to £129 per year if you switch from paying On Demand (on receipt of your bill) to paying by Direct Debit as our prices are lower for Direct Debit customers1.

Set up a Direct Debit

Sending meter readings

These help us send you accurate bills, which are not based on estimates. If we have to estimate your bills, you could end up paying too much or too little – and might need to make extra payments later down the line.

Submit a reading

Getting a smart meter

Smart meters send readings for you, which means we know exactly how much energy you’re using – and your account is always up to date. They can also help you track your energy use in real-time.

Get a smart meter

Keeping an eye on fixed deals

Many of our members prefer to choose fixed plans. These plans fix the price you pay, offering you peace of mind that your energy prices won't change for 12 months or more.

See our fixed plans

Check your account every month

It’s important to log in to your online account at least once a month to check on your energy usage and payments.

Log in to your account

Speak to the Centre for Sustainable Energy

We’ve also partnered with the Centre for Sustainable Energy who can give you free, impartial advice on saving energy.

Get some advice

What is OVO doing to help with the crisis?

We’re working with the government, Ofgem and our charity partners to help manage the immediate issues and create solutions that work in the long term. We won’t stop until energy is fairer for everyone. Here’s what we’ve done so far:

  • We’re donating £2 million to debt charity StepChange

    StepChange is a charity that’s doing important work to support vulnerable households. We already work with StepChange, helping direct our members to their services whenever they need it. This donation will help them continue this work.

  • We’re working with the government

    Like all energy suppliers, we’re participating in the government’s upcoming £200 energy loan scheme. When we have more information, we’ll be in touch with all our members.

Find more answers here

We’ve put together these frequently asked questions – to help you get all the latest information about what’s happening.

Read our FAQs
Read our FAQs

Find more answers here

We’ve put together these frequently asked questions – to help you get all the latest information about what’s happening.

Read our FAQs
Read our FAQs

1This saving is based on the difference between Direct Debit prices and On Demand prices and using Typical Domestic Consumption Values (TDCV) for a dual fuel customer. TCDV are 2,900kWh of electricity, 12,000kWh of gas, and 4,200 kWh of Electricity on Economy 7 rates.