standing charges gone up by more than 100%

happyman70

I am really puzzled how and why my electricity company is charging me more than 100% in standing charges compared to last year. Last year my standing charge was 21.90p per day and now it is 48.53p. My united price has gone from 16.17p per kWh to 27.36p per kWh.

It makes me angry that electricity companies are making a profit out of people's misery. There is no need to increase the standing charge like this, and supprised the Government are allowing this.

I read an article that said due to the energy farms some companies could have more energy than they need next year. Forget what online news outlet it was now, but that makes no sense.

We were told in the early days that Green energy would benefit us all financially and we should support it but it has never benefited us and instead we are paying for it with high energy bills.

Has anyone seen their bill jump up so high for electricity

GingerTim

I know it's no consolation, but https://forums.moneysavingexpert.com/discussion/6339555/mse-update-why-has-the-standing-charge-for-electricity-nearly-doubled#latest

A major increase to the SC is paying for the SOLR process when so many companies went bust - and we will be paying that for some time to come. It will go up again next April, too, when the costs of the loan-not-loan are added.

pochase

As @GingerTim said.

Profiteering of the increase are the 5 million users who were with energy suppliers that went bust and who would have lost their credit balances. The new standing charge covers the cost for the credit balances, and also the administration of onboarding for this users with different suppliers.

Also it seems you are coming of a fixed tariff, a unit cost of 16.17p is lower than the old SVT, that means the increases are even worse for you.

Astria

GingerTim said:

 It will go up again next April, too, when the costs of the loan-not-loan are added.

Don't forget October!

pochase

Astria said:

GingerTim said:

 It will go up again next April, too, when the costs of the loan-not-loan are added.

Don't forget October!

There are no standing charge increases for October that I am aware of?

The next "planned" one is the April one, adding the 40£ per year to pay of the loan/not loan for the next 5 years.

PRAISETHESUN

pochase said:

Astria said:

GingerTim said:

 It will go up again next April, too, when the costs of the loan-not-loan are added.

Don't forget October!

There are no standing charge increases for October that I am aware of?

The next "planned" one is the April one, adding the 40£ per year to pay of the loan/not loan for the next 5 years.

The Ofgem price caps typically gets reviewed every 6 months, in Apr and Oct. I suspect this is what they are referring to as providers will no doubt take the opportunity to increase prices to whatever the new cap ends up being.

pochase

I am very well aware that the price cap will increase in October.

@GingerTim was referring to the next sure increase of the standing charge for electricity, not a increase of the unit rates.

Astria

pochase said:

I am very well aware that the price cap will increase in October.

@GingerTim was referring to the next sure increase of the standing charge for electricity, not a increase of the unit rates.

OK, how about we rephrase it:

"The standing charge will definitely increase next April, it's very likely that it will also increase in October when the new price caps are announced."

QrizB

Astria said:

pochase said:

I am very well aware that the price cap will increase in October.
@GingerTim was referring to the next sure increase of the standing charge for electricity, not a increase of the unit rates.

OK, how about we rephrase it:

"The standing charge will definitely increase next April, it's very likely that it will also increase in October when the new price caps are announced."

Historically, the average regional cap on the SC for dual-fuel DD payments has been:

• Apr 20 - 27.3ppd gas, 24.38ppd elec
• Oct 20 - 26.1ppd gas, 24.38ppd elec
• Apr 21 - 26.6ppd gas, 24.89ppd elec
• Oct 21 - 26.1ppd gas, 24.89ppd elec
• Apr 22 - 27.2ppd gas, 45.34ppd elec

So there have previously been October changes in the gas SC, but not the electricity one. We'll have to wait and see what October 22 brings.

Ultrasonic

pochase said:

As @GingerTim said.

Profiteering of the increase are the 5 million users who were with energy suppliers that went bust and who would have lost their credit balances. The new standing charge covers the cost for the credit balances, and also the administration of onboarding for this users with different suppliers.

'Profiteering'? Hardly. Consumers have been protected from companies going bust, that is all. Something I'd rather suggest is firmly in the spirit of this forum.

pochase

That was an ironic response to 

It makes me angry that electricity companies are making a profit out of people's misery. There is no need to increase the standing charge like this, and supprised the Government are allowing this.