August 2025: The Winter Price Cap Lands and Attention Turns to the Cold
Ofgem confirmed a modest rise in the October price cap, nudging bills up just as the industry began preparing for winter. We look at August's announcement and the readiness conversations it prompted.
CAMB Editorial
Editorial Team
As summer drew to a close, attention in the energy market began its annual turn towards winter. Ofgem confirmed a modest rise in the price cap from October, reversing part of the summer's relief, while suppliers, system operators and advisors alike started preparing for the season of highest demand. August was, in many ways, the quiet before the busy months ahead.
A Modest Rise, a Familiar Pattern
The increase was small by the standards of recent years, but it confirmed a now-established seasonal rhythm: bills easing in summer and firming again ahead of winter as demand expectations build. For the commercial market, the rise was a prompt to revisit customers who had deferred decisions over the summer, before the colder months tightened the picture further.
Winter Readiness Begins
August marked the start of serious winter preparation across the industry. For consultants, this meant helping clients think ahead — reviewing contracts, assessing exposure to cold-weather volatility, and, increasingly, exploring participation in demand flexibility services for the season to come. The businesses that prepared in late summer entered winter on the front foot.
Prepare clients before the cold
Winter readiness is an advisory opportunity. A late-summer review — covering contract status, budget exposure and flexibility potential — positions clients to face the season with confidence rather than reacting to the first cold snap.
Looking Towards the Season Ahead
With the October cap set and winter approaching, the market braced for its most demanding stretch. The lessons of the year — that volatility is the new normal, that preparation beats reaction, and that data and flexibility increasingly matter — would all be tested in the months that followed. For advisors, August was the moment to ensure both they and their clients were ready.
Key Takeaways
- Ofgem confirmed a roughly 2% rise in the October cap to £1,755, reversing part of the summer fall
- The increase confirmed the seasonal pattern of summer easing and pre-winter firming
- August marked the start of winter readiness across the industry
- Late-summer reviews of contracts, exposure and flexibility positioned clients well for winter
Join the CAMB Community
Be First on the Platform
Early access to the UK's dedicated marketplace for energy consultants, agents, merchants, and brokers.
Join the WaitlistRelated Articles
July 2025: Government Rejects Zonal Pricing in Landmark REMA Decision
After years of debate, the government confirmed it would not introduce zonal electricity pricing, opting instead to reform the national pricing system. We unpack one of the most consequential market decisions of the year.
September 2025: Getting Business Energy Winter-Ready
With the October cap confirmed and the heating season approaching, September was the month to put winter readiness into practice. A practical look at how advisors helped clients prepare for the cold months.
Winter Demand Flexibility Results: Lessons for Energy Consultants
With the 2025/26 winter flexibility season behind us, the results offer a clear signal: demand flexibility has moved from pilot to product. Here is what consultants should take from the season — and how to turn it into a client offering.