Home charging prices will fall from next week as the new energy price cap kicks in, while public charging prices are also likely to start dropping within weeks.

Home charging prices under the energy price cap will fall from 1 October while prices for public charging should start dropping in the coming weeks

From Sunday 1 October, the energy price cap falls 7% following a 17% fall in July. The cap limits what households pay per unit of energy on a standard – or default – tariff in normal circumstances and when paying by direct debit.

The average new average unit rate for electricity from 1 October to 31 December 2023 will be 27.35p per kWh with a standing charge of 53.37p per day. That’s down from 30.11p per kWh and 52.97p per day.

The drop in the energy price cap will benefit EV drivers charging from home, cutting the cost of an 80% charge for a car with a 64kWh battery from £15.42 to £14.00. A 100% charge drops from £19.27 to £17.50. Drivers on dedicated electric vehicle tariffs meanwhile can already pay significantly less to charge their cars – as little as £5-£6.

But with electricity prices finally falling, prices charged by charge point operators for public charging should start falling in the coming weeks, according to the RAC.

Its new ChargeWatch data shows that the cost of using rapid and ultra-rapid public chargers finally stopped rising in September.

The analysis revealed that it currently costs an average of 71.41p per kWh to ‘rapid’ charge an EV on a pay-as-you-go basis, up from 63.29p (13%) a year ago but – for the first time in 2023 – unchanged since the previous month. This means drivers pay £36.56 to charge an electric car with a 64kWh battery from 0% to 80%, giving a range of around 188 miles.

The cost to use an ultra-rapid charger – delivering at least 100kW – is only slightly more expensive than rapid chargers, standing at 74.81p per kWh in September, up from 63.94p (17%) compared to 12 months ago. Drivers needing to complete an 80% charge at one of these chargers have to pay £38.30, around double the comparative cost of charging at home.

The RAC is now encouraging public charging networks to pass on benefits of lower electricity prices to drivers as quickly as possible.

Spokesman Rod Dennis said: “The fact that charging prices – whether at home or at a public rapid or ultra-rapid charger – appear to have finally peaked can only be good news for drivers, whether they’re already lucky enough to drive an electric vehicle or are considering one as their next vehicle. It’s imperative now that charge point operators (CPOs) reduce their rapid and ultra-rapid charging prices as soon as they can to show they’re on the side of drivers.”

But he also called for the Government to play a role in keeping down charging prices; as set out in its charter for public electric vehicle charging launched in partnership with FairCharge earlier this month.

“There’s a clear role for the Government here too in keeping charging affordable, especially for drivers who don’t have the luxury of cheap charging at home. For this reason, we’re disappointed the Government has so far rejected calls from ourselves, the FairCharge campaign, the motor manufacturers’ trade body SMMT and from many others in the industry for the VAT rate charged on electricity bought from public EV chargers to be reduced to match the 5% charged to domestic households. Doing so would cost the Treasury relatively little but would see charging costs fall by around 9p per kWh, saving drivers around £6 for every 80% charge.”

Public charging costs compared

Average cost to charge per kilowatt hour, by charger speed

Average cost to charge a 64kWh car to 80%, by charger speed