The UK energy cap is rising to £1849 from April 2025. According to the news, bills are showing no sign of returning to pre-2021 levels. Many households are asking about the most expensive gas and electricity suppliers in the UK in 2025. But why are they asking this question, and who is the most expensive supplier?
Let’s break down this question one by one. While comparing top suppliers, we will focus on how to avoid paying more than you should.
Octopus Energy: Eco-conscious and Costly?
This is an energy supplier known for its greener-energy projects and good customer service. They offer 100% renewable electricity as standard and innovative tariffs like the Tracker and Agile. While it often offers good value, especially with referral credits, some of Octopus Energy’s fixed tariffs in 2025 are more expensive than the price cap. For example, the "Octopus 14M Fixed January 2025 v1 costs £1,717, and the Flexible Octopus variable tariff costs £1,750”—both are pricier than the cheapest deals from some Big Six energy suppliers.
Yes, Octopus remains a top choice for sustainable energy resources and better customer experience, but it is not always the cheapest choice you have out there, especially for fixed deals.
Utility Warehouse: Bundled Services with a Price
Utility Warehouse offers energy along with broadband, mobile, and insurance. Its tariffs are often advertised as competitive, but you have to sign up for at least two services, and leaving early can cost you £150 for dual fuel. There are other tariffs they offer which are cheaper than the price cap, but overall, its higher costs can end up being higher because of the bundling.
According to customers, it has a high Trustpilot score (4.8/5), but it is not always the best choice if you just want energy.
EDF Energy: Legacy in Energy and Pricing
They are known for their reliability and broad range of tariffs. In 2025, there was a launch of some of the cheapest fixed deals among major suppliers (£1,642/year for the Simply Fixed Jun26v5 tariff, undercutting the price cap by over £200).
However, throughout the year, they have remained one of the suppliers whose fixed tariffs can be among the most expensive, especially for customers who don’t switch regularly.
Read our complete Edf Energy Review here.
ScottishPower: Regional Leader, High Costs
They also have a strong focus on renewable energy. They offer electricity at 26.06p/kWh and gas at 6.41p/kWh in 2025, but these are above the national average for some tariffs. Their standard variable tariff is around £1,765/year. Even if it matches the price cap, there are some fixed deals which are more expensive.
Their prices can be higher in certain regions, and also reflect costs and local demand.
Read our complete ScottishPower Review here.
Regional Pricing Variations: A Breakdown
Even if it is sad news, the place you live makes a real difference to your bill. For example:
Highest electricity rates:
- Region: North Wales and Mersey
- Rate: 28.50p per kWh
- Standing charge: 69.54p per day
Lowest electricity rates:
- Region: Southern Scotland
- Rate: 25.82p per kWh
- Standing charge: 56.50p per day
Anyone would question why; since they include network charges, local infrastructure, and customer density, this all sums up to your bill.
North Wales & Mersey
- Electricity Unit Rate: 28.50p/kWh (highest)
- Electricity Standing Charge: 69.54p/day (highest)
- Gas Unit Rate: 6.99p/kWh
- Gas Standing Charge: 32.89p/day
London
- Electricity Unit Rate: 26.48p/kWh
- Electricity Standing Charge: 46.20p/day (lowest)
- Gas Unit Rate: 7.07p/kWh (highest)
- Gas Standing Charge: 32.96p/day
Southern Scotland
- Electricity Unit Rate: 25.82p/kWh (lowest)
- Electricity Standing Charge: 56.50p/day
- Gas Unit Rate: 6.92p/kWh (lowest, tied)
- Gas Standing Charge: 32.78p/day (lowest)
South East
- Electricity Unit Rate: 27.68p/kWh
- Electricity Standing Charge: 48.03p/day
- Gas Unit Rate: 6.92p/kWh (lowest, tied)
- Gas Standing Charge: 32.43p/day
Influence of the Energy Price Cap
The Ofgem price cap for April to June 2025 is £1849; this limits the unit rates and standing charges suppliers can charge on standard variable tariffs. However, fixed tariffs can be priced above the cap, and regional differences still apply, so the actual bill you receive could change.
Supply Costs: The Backbone of Pricing
The biggest driver of high bills are wholesale energy costs, especially with ongoing global conflicts and supply chain disruptions.
For April–June 2025, wholesale costs account for £841 of the typical annual bill, with network, policy, and operational costs making up the rest.
Distribution Charges: Hidden Costs Unveiled
Distribution network charges are included in your bill, and these vary by the region. If there are fewer customers or more remote infrastructure in your region, there will be higher costs per household. This is one reason why rural households and northern regions may have to pay more.
Customer Base Dynamics: Impact on Pricing
If you dig into the past, large suppliers like British Gas and EDF have legacy infrastructure and customer service costs; this can push up prices for all customers, particularly those who don’t switch tariffs regularly.
Fixed vs Variable Rates: Understanding Your Options
- Fixed tariffs: Lock in rates for 12–24 months; can be higher than the cap if set during a volatile period. Early exit fees usually apply.
- Variable tariffs: Track the price cap, but are subject to future increases. No exit fees, but less price certainty.
Contrasting Affordable Providers: Competitive Plans Explored
In this context, while we were focusing on the priciest suppliers, it is worth noting that Octopus Energy, Outfox the Market, and Tulo Energy are among the cheapest for both fixed and variable tariffs in 2025.
Example: Outfox the Market’s 1-year fixed tariff is £1,605/year for a typical user, compared to £1,765 for most Big Six variable tariffs.
The Role of Global Factors in Pricing
There are many global factors which affect pricing, such as global gas pricing, supply chain disruptions, and the UK’s transition to renewables. These factors all contribute to higher bills.
Since the UK increases its reliance on renewable energy resources (now aiming for a significant portion of electricity generation from renewables), the investment costs are being passed on to consumers, even if it is short term.
Tips for Securing the Best Deals on Energy
- Compare tariffs regularly—don’t just stick with your current supplier.
- Check both unit rates and standing charges—the cheapest supplier isn’t always the one with the lowest unit rate.
- Consider fixed deals if you want price certainty, but watch for exit fees.
- Use Switch Squid's Business and Home Energy Comparison Tools for unbiased results.
- Act quickly—the best fixed deals often disappear as price cap rises approach.
Conclusion: Navigating the Complex Landscape of Energy Suppliers
OVO Energy, British Gas, EDF, and ScottishPower can be among the priciest, especially for those who don’t switch or are on standard variable tariffs. Also, regional factors, tariff type, and supplier business models affect the price, so it pays to compare regularly and look beyond headline rates.
