Households may see a small drop in their energy bills in 2026 with the 7% decrease in the Energy Price Cap, but the reality is that homeowners are still dealing with prices far above pre-crisis levels in 2021.
Energy Bills Are Falling, But Still 35% Higher Than Before
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Energy bills are dropping, but at what cost
From April 2026, the Energy Price Cap will fall by around 7%, bringing the typical dual-fuel household bill down to about £1,641 per year. It’s worth noting that this figure is based on the national average, so your actual energy bill will depend on how much energy your household uses. The reduction is partly due to the government shifting around £150 of policy costs (often referred to as green levies) from energy bills into general taxation.
While any reduction is welcome, the overall cost of heating a property remains a heavy burden for homeowners.
Energy is still much more expensive than it was
Even after the price cap reduction, energy bills remain around 35% higher than they were during the winter of 2021-22, according to the UK Parliament’s House of Commons Library.
That means many households are still paying much more to heat their homes than they did just a few years ago. With global energy markets continuing to face uncertainty, further price volatility is always possible.
Global fuel prices affect your energy bills and insulation costs
Global fuel prices still play a major role in both energy bills and insulation manufacturing costs. With current geopolitical tensions in the Middle East, gas and oil prices have already increased. Even if your home doesn’t use gas, it will be negatively affected because electricity prices, heating oil costs, and wider energy markets are all linked to global fuel prices.
In addition, these tensions will almost certainly affect the Energy Price Cap in July 2026, alongside increasing the cost of producing and installing insulation.
These developments affect how we provide our services and purchase the materials that contribute to your warm, comfortable home. If our suppliers increase their prices, we will have to do the same, raising the average installation price.
Choosing Viridian today could help you avoid higher costs later.
Reduce your energy bills before the prices rise
One of the most effective ways to lower heating bills is to reduce how much heat your home loses, helping it use less energy in the first place. And at Viridian, we help homeowners create warmer, more energy-efficient homes with high-quality insulation materials.
Did you know that an uninsulated loft can allow up to 25% of a home’s heat to escape, while empty cavity walls – up to 35%! This means that your heating system has to work harder and use more energy, pushing bills to record-high points compared to 2021 despite recent reductions.
By improving your cavity wall insulation or loft insulation, Viridian helps your home stay warmer for longer while using less energy. Homeowners looking to improve efficiency often start with our cavity wall insulation removal and loft insulation removal services, which then prepare your home for the installation of new, modern, and durable materials with excellent thermal performance.
Book your survey with our qualified surveyors today to receive your instant digital quote and detailed report upon survey completion. This is part of our gold standard, ensuring you receive the information you need as quickly and seamlessly as possible to make the right decision for your home.
Transform your loft with our packages here Book a free cavity wall survey now