Do you want to know how much your electricity will cost in line with the latest Energy Price Cap?
In this guide we have included two cost calculators, the first will show you how much you can expect to pay based on your annual electricity use (in kilowatt hours).
The second calculator allows you to determine how much it will cost to run a specific appliance based on its specific wattage and the amount of time it is used.
UK Electricity Cost Calculator:
In the cost calculator below, please enter your annual electricity usage in kilowatt hours (kWh). If you’re not sure, it may be worth referring to your total energy consumption on your last complete annual bill.
If you cannot find your last bill or your circumstances have changed, then you may want to use the UK average to get a rough estimate instead.
What is the UK average electricity consumption?
According to energy regulator Ofgem the average household of 2.4 people uses 2,900 kWh of electricity each year.
Electricity Cost Calculator UK (By Appliance):
If you want to calculate how much a specific appliance you use will cost to power per hour, please enter the wattage of the appliance and time in hours below:
Unit Cost of Electricity per kWh, by UK Region
A lot of people assume that the price of electricity per kWh is the same throughout the UK, but in fact it varies slightly depending on where you live.
The table below shows you how much electricity costs per kWh based on location (please not that these costs do not include VAT at 5%, if you would like to add VAT, multiply the number by 1.05).
|Area||Average variable unit price in 2021 (p/kWh)||April – September 2022||October – December 2022|
|Merseyside & North Wales||20.2||28.2||51.3|
Why Are Electricity Prices Increasing?
There are many reasons for the skyrocketing price of energy in the UK and you may have noticed it’s a global issue impacting every country that relies on gas and oil imports.
Due to Russian Gas and Oil being cut from the normal supply, this has led to an international shortage and due to many countries now looking for alternative providers, this has led to a surge in demand and in turn prices.
Check out our complete guide to UK gas imports if you are interested in learning more about where the UK get it’s gas from.
Unfortunately, the UK is not in a position to rely entirely on renewables like wind power and so the only option is to ride the wave.
In response to the current energy crisis, the UK government recently published their Energy Security Strategy, which outlines how they intend to improve the countries energy mix and decrease reliance on imports over the coming decades.
The proposal includes plans to launch a new licensing round of exploratory gas and oil projects in the North Sea for Autumn 2022.
This will also be in conjunction with a new task force, the Gas and Oil New Project Regulatory Accelerators, providing support to new developments.
The aim of this is to increase the UK’s domestic supply of gas and oil and hopefully help ease the current energy crisis.
Should You Fix Your Energy Bills?
Unfortunately, there is no easy way to answer this question, since the energy market is extremely erratic and could continue to change.
For example, if you decided to move to a fixed tariff now, it could potentially protect you from the next energy price cap increase (set to come into force in January 2023).
However, for others it may end up making more financial sense to stay to the normal standard tariff and remain protected by the energy price cap.
According to a recent estimate from analysts at Cornwall Insight, average prices could increase to £4,649 come January, when another price cap is set. But this is just an estimate, there is no way to be 100% certain this will be the actual increase.
For the complete breakdown of how we determined whether it’s wise to fix your energy prices or not, see our complete guide to fixing your energy prices.
Electricity Costs and Payment Type
Many people wonder how much their energy bill may change based on the method they use to pay it.
It’s no secret that those on prepayment meters have traditionally paid the most, but how does it compare to direct debit and credit?
Well, it appears that right now those who opt to pay by credit e.g. credit card now pay the most.
In fact, average variable charges cost 9% more and fixed charges cost 22% more when paying by credit than paying by direct debit.
|Payment type||Credit||Direct debit||Prepayment|
|Area||Avg unit price (p/kWh)||Avg fixed cost (£/year)||Avg unit price (p/kWh)||Avg fixed cost (£/year)||Avg unit price (p/kWh)||Avg fixed cost (£/year)|
|Merseyside & North Wales||21.7||£97.0||19.7||£80.8||20.9||£73.2|
How Much Will Electricity Cost Per kWh in January 2023?
According to a recent estimate from analysts at Cornwall Insight, average prices could increase to £4,649 come January, when another price cap is set.
But this is just an estimate, there is no way to be 100% certain this will be the actual increase.
Come January, it’s estimated that the price cap increase will mean the average bill on a standard rate will jump to £384 per month.
It’s predicted that the energy price cap will further increase by 14% in April 2023, meaning you will likely end up paying around £438 a month, making the bill a whopping £4395 for the period of September 2022 to August 2023.