Gas price increase: what to do with the letter

Millions of households in Germany may soon find a letter from their gas supplier in the post box announcing a higher price from January 2027. The comparison portal Verivox expects a gas price increase of 10 to 20 percent at the turn of the year, depending on the tariff. For a family in a detached house, that could mean up to 500 euros more per year. The letters should start arriving from about 20 November 2026, and the letter may give you time to switch or cancel before the increase takes effect.

The forecast comes mainly from Verivox, so treat it as an estimate, not a fixed price list. Berliner Zeitung and The Local both report the same Verivox figures, and Verivox chief executive Daniel Puschmann has said he expects further price rises, including for existing customers. This article focuses on the practical side: when the letters come, what your rights are, and how to switch without risk.

Why the gas price increase is coming

Verivox says wholesale gas has become much more expensive over the past year, and suppliers who bought gas in advance for their customers now have to buy for 2027 at higher prices. According to Verivox, gas currently costs about 13 cents per kilowatt hour, roughly 20 percent more than a year ago. A household with 20,000 kilowatt hours a year, typical for a house, pays about 2,540 euros at today's average, Berliner Zeitung reports using Verivox data. A 10 percent rise adds about 250 euros, and 20 percent adds more than 500 euros. A flat with 10,000 kilowatt hours would pay 125 to 250 euros more.

Grid fees, which pay for the pipes, add a smaller part of the gas price increase. Verivox calculates that gas grid fees rise by about 3 percent nationwide, around 19 euros a year for a 20,000 kilowatt hour household. The differences between regions are large: Berlin is up about 8 percent and Hamburg about 7 percent, while Saxony sees a small fall. Grid fees are about one fifth of the gas price. For the bigger picture of electricity and gas next year, see our report on energy prices in Germany in 2027.

When the price letter arrives and what it must say

The deadlines depend on your contract. In basic supply (Grundversorgung, the default contract with the local supplier), the new price must be announced publicly at least six weeks ahead, and a letter must be sent at the same time. For 1 January that means about 20 November. In a special contract (Sondervertrag, a normal tariff you chose), the supplier must inform you at least one month ahead, so by 1 December. Your annual gas bill states which type you have.

The letter must give the reason, the scope and the conditions of the increase, and it must point out your right to cancel. The Verbraucherzentrale, the consumer advice organisation, says a vague reason such as "operational grounds" is not enough, citing a ruling of the Federal Court of Justice, and that a note in a customer portal alone does not count. If the letter is late or incomplete, the increase may be ineffective in a special contract, so you should not simply pay the higher amount without checking. Pay any extra only with a written reservation, and ask a consumer advice centre if in doubt.

Your special right to cancel

When a supplier raises the price, you generally have a special right to cancel (Sonderkündigungsrecht) without a notice period and without a fee. The Verbraucherzentrale says this applies whatever the reason is, including higher grid fees or levies. The cancellation must reach the supplier before the new price takes effect. For an increase on 1 January, that means by 31 December 2026, and what counts is the day the supplier receives it, not the day you post it.

Because the cancellation counts only when it arrives, and postal delays happen over the holidays, do not wait for the last day. Send the cancellation early, preferably by a method that proves delivery, and keep the receipt. Basic supply can also be left at any time with two weeks' notice, with or without a price letter, according to netz-trends.

How to switch gas supplier safely

The key rule is simple: sign the new contract first, cancel the old one second. If gas keeps flowing but you have no valid contract, you can fall into replacement supply (Ersatzversorgung). It lasts at most three months, and the supplier can set higher prices, according to netz-trends. Cancelling yourself, instead of letting the new supplier do it, keeps control of the deadline, the Verbraucherzentrale advises.

Before you react to the gas price increase, check what a new tariff really offers. Look at the length of any price guarantee, because many cover only the energy price and not grid fees. Check whether you would lose a bonus that needs a full year of supply. Verivox found a gap of about 600 euros a year between basic supply and cheap new-customer tariffs for a single-family home this summer. You can also tell your current supplier that you know about your right and ask for a better offer, and our overview of energy providers and options may help you compare.

What the gas price increase means for expats

If you rent a flat with a central gas heating system run by the landlord, you will not get a letter, and the cost reaches you through the service charge bill (Nebenkostenabrechnung). If you have your own gas contract, check your bill now, note whether you are in basic supply, and see when any price guarantee ends. Keep an eye on your post box and your email from 20 November onwards, and read every supplier message, even if it looks like advertising.

Letters are in German, so use a translation tool if needed, and look for the words Preisänderung (price change) and Sonderkündigungsrecht. If you are not sure whether a letter is valid, a Verbraucherzentrale (consumer advice centre) can check it. Most important, act well before 31 December, and never cancel before you have a new supplier confirmed.