Some British Gas, OVO, EDF, EON, Octopus customers will see bills rise £229 despite £150 cap hike

A geographical discrepancy means some British Gas, OVO, EDF, EON and Octopus customers will pay more than others. The energy price cap will see hikes for households up and down the country amid the ongoing Cost of Living crisis in the UK.

On October 1, around 29million customers on their supplier's standard variable tariff will see their bills rise from £1,568 a year to £1,717 a year. But the headline figure that households will see their bills rise to - £1,717 a year from October - is just an estimation.

In reality, the exact amount you'll pay will depend on several factors. Your exact unit rates and standing charges will vary based on your supplier, where you live and how you pay for your gas and electricity costs, it has been warned.

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There are 14 different "distribution network operators" across the entire country, each having the power to dictate your energy costs. From October 1, the average London-based household's annual energy bill will rise from £1,539 to £1,689.

However, typical costs will be lowest in the East Midlands, with the average home paying £1,666 a year, according to projections from maps. Those in the South West will pay the most, with the average annual bill costing £100 more at £1,766 a year - a £229 hike.

Dr Craig Lowey, principal consultant at analysts Cornwall Insight, warned: "Varying regional costs hail back to pre-privatisation of the industry. Following privatisation, the basis for regional charges was determined by each of the 14 network operators submitting their view of the costs of maintaining their networks to the regulator, which remains the approach today.

"Each of the 14 regional networks have different infrastructure, which is reflected in their respective network costs and therefore what they are allowed to charge customers through their bills." Richard Neudegg, director of regulation at price comparison site Uswitch.com, said: "Regions with more rural locations may pay a higher amount due to the higher price of the necessary infrastructure."