UK Power Networks has said that it became aware of the issue at 7:57am.
Engineers arrived on the site at Broadway at just before 9am to begin to diagnose the problem.
Over 360 properties in the city centre, Woodston, Parnwell and Bourges Boulevard were left without power.
The power was estimated to be restored at 10:30am but an update was issued at 9:19am, which confirmed: “We can now confirm that all power in the Broadway area should be back on.
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“We have diverted power around the underground fault, putting you on to a healthier part of the network.
“We now believe the issue is resolved and all power is restored.”
The fault has been identified as a fault on an underground electricity cable.