April 2026 Energy Rate Reductions
On 1 April 2026 energy rates will be reduced, following action taken by the Government.
We’ll automatically pass on all eligible savings to all So Energy customers, there’s nothing you need to do.
Read on to understand what this means for you.
What's changing
Your energy bill will be reduced from 1 April following action taken by the UK Government in the 2025 Budget. You can find more information at gov.uk/your-energy-bill.
In the Autumn Budget, the government announced that some policy costs funded through household energy bills will be reduced from 1 April 2026. A significant proportion of energy bills are made up of ‘non-wholesale costs', including network costs, operating costs and policy costs, all of which support the running of the energy system.
From 1 April, some policy costs will be removed from customer bills, including 75% of the cost of the Renewables Obligation (RO), which will instead be funded by general taxation, and the Energy Company Obligation (ECO) insulation programme, which will come to an end.
These reductions will be applied to your rates automatically, whether you are on a variable or a fixed rate tariff. The exact rates will depend on which tariff you are on.
Your tariff
Read below for more informtion on how your tariff will be affected by the changes.
Variable Tariffs
The price cap will fall on 1 April 2026 to £1,641 per year for a typical household that uses electricity and gas and pays by Direct Debit. This is a reduction of £117 compared to the previous price cap. The amount that you pay will vary, dependent on the amount of energy you use.
For customers on variable tariffs like So Flex, the rate reductions in the budget will be reflected in the price cap and applied automatically, you don’t need to do anything.
You may be able to save money by switching to a So Energy fixed or tracker tariff, and avoid future rate rises for up to 24 months.
