The RAB levy and your Ruby Energy bill

From 1 December 2025, a new government charge called the RAB levy will affect electricity prices for UK businesses.

We want you to know what this is, why it exists, and what it means for your Ruby Energy bill.

You will not see a new line on your bill. Instead, the levy will sit within your electricity unit rate. We will always write to you ahead of any change to your price.

At a glance:

  • The RAB levy is a government charge to help fund new nuclear power stations in the UK
  • It applies to electricity only, not gas
  • It is included in your unit rate rather than listed as a separate charge
  • The levy rate is set and reviewed each quarter by the Low Carbon Contracts Company (LCCC)
  • Your unit rate can go up or down if the levy changes
  • We will write to you before any change to your price takes effect
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What is the RAB levy?

  • RAB stands for Regulated Asset Base.

    The RAB levy is a government charge that helps fund the construction of new nuclear power stations across the UK. These projects are designed to:

    • Provide clean, low carbon electricity for decades
    • Support the UK target of reaching net zero by 2050
    • Reduce reliance on imported energy and global wholesale markets

    All licensed electricity suppliers must pay the levy based on how much electricity they supply to customers.

How the levy affects your bill with Ruby Energy

From 1 December 2025, the RAB levy will be included within your electricity unit rate.

That means:

  • You will not see a separate “RAB levy” line on your bill
  • Your unit rate will include the levy amount
  • When your unit rate changes, we will always write to you and explain why

Our terms and conditions allow us to reflect new government charges in our prices so that changes like the RAB levy are passed through in a clear and fair way.

How much is the levy?

  • For the period 1 November 2025 to 31 December 2025, the Government has set the levy at:

    • £3.455 per MWh
    • Equivalent to 0.3455p per kWh

    An example:

    • A microbusiness using 10,000 kWh of electricity per year
    • Annual increase of around £34.55
    • Roughly £2.88 per month

    This is a guide only. Your actual impact will depend on how much electricity your business uses.

    The levy rate is reviewed every quarter. It can rise, fall or stay the same. Any change will be reflected in your electricity unit rate.

    You can see the latest RAB levy rate on the Low Carbon Contracts Company website.

Why has the Government introduced this charge?

Building new nuclear power stations is expensive and takes many years. The RAB model spreads the cost over the life of the projects rather than loading it all in future bills.

The idea is to:

  • Help avoid sharper price spikes further down the line
  • Support long term price stability
  • Secure a steady supply of low carbon electricity for UK homes and businesses

By supporting these projects now, the aim is to build a more stable, low carbon energy system for the future.

Still have questions?

Find more answers on our FAQ webpage.

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