Regional Dual Fuel Energy Costs & Tariffs Across the UK

Where you live can really change how much you pay for dual fuel in your home. Energy prices and fees are not the same everywhere. Unit rates and standing charges change by area. These changes come from how much it costs for the network, what it takes for suppliers to work, and how the local systems are set up. You might be on a single dual fuel tariff, but people in two homes who use the same amount of energy may still pay different bills. This is because of the way energy prices and costs work in different places.

Why Regional Differences Exist in Dual Fuel Costs

• The energy price cap set by Ofgem puts a limit on what energy suppliers can charge for each unit of energy and for the standing charge on a standard variable tariff.
• Costs for electricity supply and gas supply are not the same in every part of the country. These prices change because network or distribution costs are different.
• Each supplier has its own extra costs like for work on maintenance, call centres, and more. These make energy tariffs different from place to place.
• People living in rural areas often pay more for their energy bills. This happens because it costs more to keep energy networks running in those places.
• Ofgem says that starting from 2026, all big suppliers must have at least one price cap tariff with a lower standing charge. However, this may mean unit rates go up.

Energy Price Cap Rates and Standing Charges (October–December 2025)

Ofgem says the price cap level for a normal home using direct debit will be £1,755 a year from October to December 2025. The price cap puts a limit on the most you can be charged for each unit of energy and on the standing charges for standard variable tariffs.

These numbers show the averages for England, Scotland, and Wales. The real amounts can be different based on where you live, your type of meter, and your household energy usage.

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Regional Variations in Practice

Dual fuel prices can change by where you live. The cost you pay depends on the company giving the service in your area.

• In the North West, people often pay less for electricity unit rates and daily standing charges than people living in Northern Scotland.
• Most houses in Eastern England have to pay more for every unit of gas than those who live in the Midlands.
• Rural areas have higher daily standing charges. It costs more to keep up the network when it goes over long distances.

This means two people who use the same energy in their homes might pay different amounts. It depends on where they live.

Example: How Region Affects a Dual Fuel Bill

Assume a typical three-bed home uses:

• 4,500 kWh electricity
• 12,000 kWh gas

Using national averages:

• Electricity = 4,500 × 26.35p = £1,185.75
• Gas = 12,000 × 6.29p = £754.80
• Standing charges (electricity + gas) = about £320 a year

Total = £2,260

Now add higher regional costs:

• If the electricity unit rate goes up by 0.5p, you get 4,500 × 0.005, which means £22.50 more to pay.
• If the gas unit rate goes up by 0.5p, it will be 12,000 × 0.005. You now have to pay £60 extra.
• If standing charges are 10p higher every day for both, it will be 0.10 × 365. That adds up to £36.50 extra.

Total extra = £22.50 + £60 + £36.50 = £119

So, if you have the same home in a place that costs more, you might pay about £2,379 every year. This is more than the £2,260 you would pay in another area. That means you pay around £120 more. In some places with very high local charges, you could pay close to £200 more each year.

Dual Fuel vs Single Fuel in Different Regions

• If you live in a place where the electricity standing charges are high, you might save money. The way to do this is by going with separate suppliers, especially if you do not use much power.
• In places where both fuel charges are high, staying with one energy supplier could help. A dual fuel deal with one energy supplier may give you a dual fuel discount and better savings than using two companies.
• Big suppliers like British Gas might cover some of the price differences in different areas. Still, it is always a good idea to compare so you get the best deal on your energy.

Future Changes in Regional Pricing

• From 2026, all suppliers will have to give people the choice of a lower standing charge in every area. Ofgem says this is to let households pick what works best for them. But if you use much energy, how much you benefit from this will depend on your usage.
• There will be more smart meters in homes. This will help bills to be more correct. It will also make energy comparison between different suppliers easier and more fair.
• As the energy market changes, new green energy tariffs may show up in some regions. This could affect what people pay in one place versus another. It may change the balance of costs between regions.

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How to Find the Best Dual Fuel Tariff in Your Region

1. Check your recent bill to see your actual electricity usage and gas bill.
2. Use an energy comparison tool that accounts for your postcode.
3. The best way to see if you’re on the cheapest option is to compare energy prices regularly, especially when your current supplier moves you onto a standard variable tariff.
4. Compare both unit rates and daily standing charges — not just the headline price.
5. Decide if a fixed rate tariff or a variable tariff is the best option for your household.
6. Watch out for exit fees when switching to a new supplier.

FAQs: Regional Dual Fuel Costs & Tariffs