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Analysis|20 Feb 2026|3 min read

TNUoS Charges Nearly Double from April 2026. Here's What RIIO-3 Means for Your Bill.

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TNUoS fixed charges rise 40-80% for most businesses from 1 April 2026. A typical small business will pay around £500 more per year.


From 1 April 2026, transmission charges are getting significantly more expensive. TNUoS fixed charges rise 40-80% for most businesses under the new RIIO-3 price control. For a typical small business, that's an extra £500/year.

What's Changing

The TDR (Transmission Demand Residual) is a fixed annual charge based on your connection type — it doesn't scale with how much electricity you use. Here's what businesses will pay from April:

Site Type 2025-26 2026-27 Change
Small business (no MIC) £755 £1,273 +69%
LV site <90 kVA £1,426 £2,132 +49%
LV site 90-150 kVA £2,383 £4,234 +78%
LV site 150-250 kVA £3,742 £5,289 +41%
HV site <200 kVA £7,968 £11,710 +47%

Source: NESO published TNUoS tariff tables. Annual fixed charges by TDR band.

These are fixed annual charges — a site using 50,000 kWh pays the same TDR as one using 1,000,000 kWh if they're in the same band.

Band Thresholds Are Changing

RIIO-3 also shifts the band boundaries. The LV Band 1 threshold rises from 80 kVA to 90 kVA. If your site's capacity is between 80-90 kVA, you might drop into a lower band automatically — saving over £2,100/year.

Our band optimisation feature flags these opportunities when you run a calculation.

Why Is This Happening?

RIIO-3 is Ofgem's new price control period for transmission, running April 2026 to March 2031. The step-change reflects investment in grid reinforcement for renewables and electrification.

All network charges are in EnergyCode.

Tags:
TNUoSRIIO-3Transmission ChargesTDR2026-27

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