Energy price cap: update for the unidentified gas allowance October to December 2026
- Publication type:
- Policy
- Publication date:
- Topic:
- Energy pricing rules
- Subtopic:
- Energy price cap
Related links
Our plan to update the unidentified gas price cap allowance using a temporary approach whilst the long-term approach is finalised.
Details
In August 2025, we set out our decision to change the approach to setting the unidentified gas (UIG) allowance to use a temporary approach. We said that this change is intended to be a temporary measure while we continue to consider a long-term approach to setting the UIG allowance.
The long-term approach to setting the UIG allowance will not be finalised before the August 2026 cap update. We will therefore update the UIG allowance in August 2026 following the temporary approach set out in our August 2025 decision. The letter we are publishing alongside this update sets out the methodology being rolled forward for setting the temporary approach.
We plan to consult on the long-term UIG allowance in Summer 2026, which will be informed by analysis from Xoserve. Depending on responses to our consultation, we are aiming to have the long-term UIG allowance in place by the April 2027 cap period.