Should the energy standing charge be lowered and unit rates increased instead?

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Poll started 20 June 2023

Currently, under the Energy Price Cap everyone pays almost £300 a year just for the facility of having electricity and gas – even before any is used – due to the daily standing charge. There's a call for input from energy regulator Ofgem at the moment, so we want your view. If the standing charge is cut, it will increase the cost of each unit of energy used – some argue the problem with this is it penalises vulnerable customers (for example, the elderly or ill) with high usage. So we want to hear from you…

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Comments

  • belle_de_jour
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    Mid Wales, covered by Severn Trent/Hafren Dyfrdwy, seems to have been left off the regions list.
  • DullGreyGuy
    DullGreyGuy Posts: 10,464 Forumite
    First Post First Anniversary Name Dropper
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    Dont fix it, allow different suppliers to choose between high standing charges and low unit costs or low/no standing charges and high unit costs. People are then free to select providers that best match their personal need
  • biscuitbob
    biscuitbob Posts: 12 Forumite
    First Anniversary First Post Combo Breaker
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    I think at the very least, the standing charges across energy companies should be the same as each other. Then it would be much easier to compare across providers. The main issue is that it's very difficult to compare and clearly see what's cheapest, when both standing and variable charges differ (which I'm sure is why they do it). 
    I don't see why standing charges should be a thing at all. Of course companies have to cover the cost of providing their equipment and service, even if nothing is used. But I imagine companies spread that cost across their unit rates anyway, I'm sure no customers' standing charges actually fully cover the cost to service them as a customer. Leaving them completely pointless anyway. 
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