Manx Utilities has confirmed that electricity charges will increase by 1.5% from April 1, with water and wastewater charges rising by 2.9% in line with inflation.
The electricity uplift is below the 2.9% Consumer Prices Index rate that would normally apply under the five-year Pricing Strategy approved by Tynwald.
The MUA board says it has made the decision to limit the impact on energy customers while still supporting the financial resilience of essential services.
It said it recognised that energy costs in recent years have placed real pressure on households and businesses.
During the global energy crisis, Manx Utilities took significant action to shield customers from sudden bill shocks, absorbing around £40m of exceptional wholesale costs rather than passing them directly through to bills.
Government also approved a £26m support loan, which ultimately did not need to be drawn.
Chair of Manx Utilities, John Wannenburgh MHK said: “Through careful financial control and disciplined management, the Board has been able to limit this year’s electricity tariff update from the CPI‑linked 2.9% to a more manageable 1.5%.
“We will continue to review tariffs responsibly, always mindful that we operate as a community utility serving households and businesses across the island.”
From April 1, a typical domestic customer using 2,700 kWh per year will pay £937 annually for electricity, an increase of £14 or £1.20 per month.
The unit rate will rise to 29.5p/kWh with a standing charge of 25.5p/day.
Manx Utilities expects electricity charges to remain broadly in line with average UK levels referenced by OFGEM, noting that bills vary across regions and tariff types.
It said it has purchased a significant proportion of natural gas in advance, about 75% for 2026/27, which “will help protect customers from short‑term price spikes and provides more stability in planning energy costs”.