Standing Charges

shiffster1

I understand the increases of energy on both gas and electricity, but cannot understand the huge increases in the daily/weekly standing charges. Have I missed the explanation for these extra costs?

GingerTim

You have indeed. See https://forums.moneysavingexpert.com/discussion/6339555/mse-update-why-has-the-standing-charge-for-electricity-nearly-doubled#latest

The short version is that the great increase is largely owing to the supplier of last resort process when dozens of companies went bust last year. The good news is that these costs should have been covered by April 2023; the bad news is that they don't include the costs of keeping Bulb in special administration, which are £2bn and counting.

molerat

The "huge" increases happened in April and were discussed to death on here back then. A large chunk of the increase was to pay for the SoLR costs of the failed companies last year.  If you were on a fix the standing charge amount was often simply a ridiculously low fudged number to get an overall amount but bore no relationship to the actual amounts that are accounted for by that charge.

molerat

GingerTim said:

You have indeed. See https://forums.moneysavingexpert.com/discussion/6339555/mse-update-why-has-the-standing-charge-for-electricity-nearly-doubled#latest

The short version is that the great increase is largely owing to the supplier of last resort process when dozens of companies went bust last year. The good news is that these costs should have been covered by April 2023; the bad news is that they don't include the costs of keeping Bulb in special administration, which are £2bn and counting.

And by my back of a fag packet calculation ( or guess ) will work out exactly the same as the SoLR costs surcharge

[Deleted User]

As others have mentioned - the huge increases are six months old.  The increases on 1 Oct are minor.