What does the Energy Price Cap announcement really mean for EV drivers?

From 1 July, the UK Energy Price Cap is set to rise again, prompting many households to look more closely at what they pay for electricity.

For EV drivers, the obvious question is: will this make charging at home more expensive?

The good news is that EV drivers have more control than most over how much they pay to power their journeys, and the price cap does not have to negatively impact you, if you manage it correctly. 

For drivers using a standard variable household tariff, a rise in electricity unit rates could make home charging more expensive. But for smart EV drivers already charging at home on an EV-specific or off-peak tariff, the impact may be minimal, or, in many cases, there may be no change at all to the rate they pay for their EV charging.

That is because the Energy Price Cap does not directly set the price of specialist EV tariffs. So if you are charging overnight on a smart tariff, the new cap does not automatically change the price you pay during your EV charging window.

In other words, the smartest way to protect yourself from rising energy costs is simple: charge at home, use a smart EV tariff, and let your Andersen charger do the work.

What is the Energy Price Cap?

The Energy Price Cap is set by Ofgem, the UK’s energy regulator. It limits how much suppliers can charge customers on default or standard variable tariffs for each unit of gas and electricity, as well as the daily standing charge.

It is often described as a cap on “typical annual bills”, but that can be misleading. It is not a maximum amount you can pay. Your actual bill still depends on how much energy you use.

From 1 July, the cap is increasing. That means households on standard variable tariffs are likely to see higher unit rates for electricity and gas.

For EV owners, this has led to headlines suggesting that the cost of charging an electric car at home could rise. For some drivers, that may be true. But it is not the full story.

Will the price cap affect EV drivers?

It depends on your tariff.

If you charge your EV at home using a standard variable electricity tariff, then yes, your home charging costs may rise in line with your electricity rate.

But if you are on a smart EV tariff, such as Intelligent Octopus Go, Octopus Go, OVO Charge Anytime, E.ON Next Drive, EDF GoElectric or a similar off-peak EV tariff, your EV charging rate is usually set separately from the standard price cap rate.

That means the upcoming price cap change should not automatically affect the rate you pay to charge your car during your smart or off-peak charging window.

For many EV drivers, this is the key point: the price cap matters most if you are paying standard electricity rates. It matters much less if your car is charging intelligently at home during cheaper off-peak periods.

Why smart home charging makes such a difference

One of the biggest advantages of driving an EV is the ability to refuel at home.

Unlike petrol or diesel drivers, EV owners are not tied to forecourt prices. With the right home charger and tariff, you can schedule your car to charge when electricity is cheapest — often overnight, when demand on the grid is lower.

That is where a smart home charger makes a real difference.

An Andersen charger allows you to charge conveniently at home and make the most of smart scheduling, off-peak rates and lower-cost charging windows. Instead of plugging in and paying the standard daytime electricity rate, you can plan your charging around the most cost-effective times.

For many drivers, this is where the real savings of EV ownership are unlocked.

How can I make sure the price cap does not impact my EV charging costs?

There are three simple steps.

1. Charge at home wherever possible

Public charging is useful when you are travelling or need a quick top-up, but regular home charging is usually the most cost-effective way to run an EV.

If you have a driveway or dedicated parking space, installing a home charger gives you more control over when and how you charge.

2. Move to a smart EV tariff

A standard household electricity tariff is rarely the best option for EV charging.

EV-specific and smart tariffs are designed to offer cheaper electricity at certain times, usually overnight. These include tariffs such as Intelligent Octopus Go, Octopus Go, OVO Charge Anytime, E.ON Next Drive and EDF GoElectric.

The best option will depend on your vehicle, charger compatibility, mileage and household energy usage, but the principle is the same: avoid charging at standard peak-time rates if you can.

3. Use a smart charger to schedule charging automatically

A smart charger helps make cheaper charging simple.

Rather than relying on memory or manually plugging in at a certain time, you can use your charger and tariff settings to schedule charging around your off-peak window. That means your EV is ready when you need it, while helping you avoid unnecessary peak-rate charging.

With Andersen, smart home charging is designed to be effortless: plug in, set your preferences, and let your charger help you make the most of lower-cost electricity.

David Martell, Chief Executive of Andersen EV, comments

“The latest Energy Price Cap announcement is a useful reminder that how you charge your EV matters. For drivers using a standard variable tariff, rising electricity prices can have an impact. But for smart EV drivers charging at home on an off-peak or EV-specific tariff, the picture is very different.

“The biggest savings in EV ownership come from charging at home and charging intelligently. A smart tariff, combined with a high-quality home charger, can help drivers avoid peak prices and make the most of cheaper overnight electricity.

“So while the price cap may dominate the headlines, it should not panic EV drivers. The message is simple: if you can charge at home, and you are on the right tariff, an EV remains one of the most cost-effective ways to drive.”

The bottom line for EV drivers

The Energy Price Cap increase will affect many households on standard variable tariffs, but it does not automatically mean higher charging costs for every EV driver.

If you are charging your EV at home on a smart or off-peak tariff, your EV charging rate is usually separate from the price cap. That means you may see no difference to the cost of charging your car.

The real lesson is not to worry about the price cap in isolation. It is to make sure you are set up to charge in the smartest way possible.

For EV drivers, that means:

• Charging at home wherever possible
• Choosing an EV-specific or smart energy tariff
• Using a smart home charger to schedule charging during cheaper periods

With the right setup, EV drivers can continue to enjoy lower running costs, greater convenience and a more sustainable way to drive — regardless of what happens to the standard household price cap.

Thinking about home charging?

Andersen’s smart EV chargers are designed to make home charging simple, stylish and cost-effective. Explore our range of premium home chargers and discover how smart charging can help you get more from every mile.