We’ve looked at where you can get the cheapest gas and electricity prices in the London area to give you an idea of what you could be paying if you switched energy suppliers and how much you could save on your energy bills.
London, the vibrant capital of the UK, is a lively tapestry of history and modernity. Iconic landmarks like the Tower of London and Buckingham Palace coexist with cutting-edge architecture such as The Shard and the Gherkin. The city’s unique blend of diverse cultures is reflected in its culinary scene, featuring everything from traditional pubs to global cuisine. With its world-class museums, bustling markets, and beautiful parks, London offers an endless array of experiences, making it a dynamic hub of creativity and innovation. Visitors can enjoy a rich calendar of events, from art exhibitions to theatre performances in the West End, ensuring there’s always something exciting happening in this inspiring metropolis.
Get £50 credit if you switch to Octopus energy today!
- Rated 4.8/5 on Trustpilot from over 400,000 reviews
- One of the cheapest suppliers
- Get a free quote in less than 30 seconds, get £50 credit when you switch
Who are the cheapest energy suppliers in London?
By using the current prices for tariffs in London and the average gas and electricity usage for a 3-bedroom home, we have found the below energy providers currently have the cheapest tariffs near you:
| Supplier Name | Tariff Name | Tariff Type | Monthly Cost | Annual Cost |
|---|---|---|---|---|
| Octopus Energy | Octopus Fixed12m | Fixed | £133 | £1,597 |
| Outfox The Market | Fix’d Dual Aug24 v4.0 | Fixed | £134 | £1,603 |
| EDF Energy | Essentials Fixed 1Yr Sep25 | Fixed | £137 | £1,645 |
| OVO Energy | 1 Year Fixed 19 August 2024 | Fixed | £137 | £1,648 |
| E.ON Next | Next Fixed 12m v23 | Fixed | £140 | £1,683 |
| British Gas | Fixed Tariff 12M v9 | Fixed | £144 | £1,725 |
Other locations nearby that is information is also likely applicable to includes Camden, Islington, Hackney, Greenwich, Kingston upon Thames, Barnet, Lewisham, Wandsworth, Bromley and Hounslow.
Who is the best energy supplier in London?
When looking at energy suppliers, it is important to not just focus on price.
Using data from Trustpilot, we have highlighted the best-performing energy suppliers that are available in London below:
| Supplier Name | Reviews Rating | No. Reviews |
|---|---|---|
| Octopus Energy | 4.8 | 440,000+ |
| OVO | 4.5 | 190,000+ |
| EDF Energy | 4.6 | 108,000+ |
| E.ON Next | 4.4 | 130,000+ |
| British Gas | 4.2 | 250,000+ |
What are the maximum standing charges in London?
Your standing charge is a daily fee you must pay to your energy supplier regardless of your energy usage. Under the rules of the Ofgem price cap, a company is allowed to charge a maximum amount, which varies depending on where you live.
London falls under the South area, meaning standing charges are currently capped at 31.3p per day for gas and 64.28p per day for electricity.
This means that whoever your supplier is, these are the maximum amounts they can charge you.
Combined, this gives a maximum standing charge for gas and electricity of 95.58p.
This means that London is in the area ranked 7th out of the 14 regions in terms of maximum standing charges rates (14th is highest). The capped price is 3% higher than the average.
These rates are based on the October 2024 price cap.
What are the maximum unit prices in London?
Your unit rate is how much you are charged per unit of gas or electricity you use. These units are measured in kWh.
Similar to standing charges, a supplier can charge a maximum for each unit of gas or electricity, which varies depending on your area.
In London, as it is in the South, the cap on the unit rate for electricity is 24.62p and the maximum unit rate for gas is 6.32p.
Combined, this gives a maximum unit charge for gas and electricity of 126.52p.
This means that London is in the area ranked 8th out of the 14 regions in terms of maximum unit prices (1st is lowest).
The capped rate is 3% higher than the average.
Again, these are based on the October 2024 price cap and will next be updated in January 2025.
What is the average energy usage for a property in London?
London is in the City of London local government area.
Gas Usage
In this area, there are 8,000 domestic properties.
2,000 of these properties have a gas meter whilst 5,000 are not connected to the gas grid (approximately 70% of properties).
The total gas usage for this area is 27 GWh, with the average household consuming 12,275 kWh of gas per year.
For context, the area with the highest average gas usage was the Elmbridge District, with 16,182 kWh per year, and the lowest gas usage was the City of Plymouth, with 7,976 kWh per year.
Electricity Usage
In total, there are 7,100 domestic electricity meters in this area.
The total consumption of all meters comes to 26 GWh, with the average household consuming 5,958 kWh of electricity per year.
For context, the area with the highest average electricity usage was the Cotswolds, with 4,947 kWh per year, and the lowest electricity usage was the South Tyneside District, with 2,527 kWh per year.
How do properties in London rate for energy efficiency?
When it comes to the efficiency of properties, 65% in City of London are rated as EPC Band C or above.
The lowest-rated area in the UK (Pendle District) has only 22% of properties rated Band C or above.
In contrast, the best-performing area (Salford) has 65% of properties rated Band C or above.
The average estimated CO2 emissions from these properties is 2.2 tonnes/year for existing properties and 0.8 tonnes/year for new properties.
Combined, the average CO2 emissions for properties in this area is 2 tonnes/year.
When it comes to central heating, the table below shows the main fuel type used for central heating in this area:
| Fuel Type | Percentage |
|---|---|
| Community heating scheme | 37% |
| Electricity | 37% |
| Mains gas | 23% |
| Oil | 0% |
| Other or unknown | 0% |
How is the smart meter rollout going in London?
Smart meters are currently being rolled out across the UK and are available for free to most customers from their energy suppliers.
In City of London (which covers London) 23% of meters are a smart meter, based on the latest available data from 2023.
Torridge has the lowest percentage of smart meter installations, with only 46% being smart.
In contrast, Chesterfield has the highest percentage of smart meters at 69%.
Which distribution network covers London?
The UK’s energy distribution network is supported by several key companies, each responsible for specific regions. These firms manage the infrastructure delivering energy to homes and businesses, ensuring a reliable supply.
Due to being based in the South region, the distributor for London is SSE Power Distribution.
SSE Power Distribution, evolving from the UK’s electricity privatisation, maintains and updates the network that brings electricity to homes and businesses. They focus on ensuring a reliable supply and integrating renewable energy, aligning with the UK’s sustainability goals. Their work is crucial for modern energy needs and environmental responsibility.
Get £50 credit if you switch to Octopus energy today!
- Rated 4.8/5 on Trustpilot from over 400,000 reviews
- One of the cheapest suppliers
- Get a free quote in less than 30 seconds, get £50 credit when you switch