From April 1 2023, standing charges rose despite the drop in wholesale energy prices, which is yet to make its way to consumers. For many the main increase in their bill will be as a result of the increase in standing charges.
Standing charges have always varied based on where you live, due to different costs to supply homes with power.
We take a look at standing charges and how they vary across the UK – with Scotland paying more than many places across the UK.
What is a standing charge?
A standing charge you pay at a fixed cost no matter how much energy you use to cover the cost of supply of gas and electric. Even if you use no energy, you will pay a standing charge, with the a unit rate added on top of said charge based on the energy you use.
Almost all consumer bills include a standing charge which is effectively a fixed daily payment covering the costs of supply and other levies.
Why are standing charges increasing?
Many have been critical of the increase in standing charges in energy bills, especially with the price of wholesale gas coming down over the past few months. The reason cited for the increase however is changes in inflation meaning that network costs have increased.
What are the standing charges for electricity from April 1, 2023?
We take a look at the standing charges across the UK, the previous charge under the current cap and the new cap, with Scotland’s in bold.
Scotland has one of the highest standing charges in the UK according to data on Money Saving Expert.
Standing charges for electricity in the UK
North West – Standing charge from 48.33p per day to 56.54p per day
Northern – Standing charge from 56.54p per day to 62.13p per day
Yorkshire – Standing charge from 54.58p per day to 60.70p per day
Northern Scotland – Standing charge from 56.1p per day to 64.06p per day
Southern – Standing charge from 449.48p per day to 54.73p per day
Southern Scotland – Standing charge from 55.70p per day to 66.74p per day
North Wales & Mersey – Standing charge from 53.64p per day to 66.89p per day
London – Standing charge from 38.28p per day to 43.37p per day
South East – Standing charge from 47.5p per day to 52.35p per day
Eastern – Standing charge from 44.03p per day to 48.82p per day
East Midlands – Standing charge from 50.83p per day to 55.43p per day
Midlands – Standing charge from 54.19p per day to 59.08p per day
Sothern Western – Standing charge from 57.67p per day to 63.37p per day
South Wales – Standing charge 54.21p per day to 58.94p per day
Standing charges for gas
Standing charges for gas are rising from 37.51p per day to 37.80p per day
What is the new bill set to be?
The majority of people in the UK pay the energy price guarantee (EPG) which is the state energy tariff – which is set to increase by 20 per cent on from April.
The Energy Price Guarantee or EPG is designed to limit what an average household in Great Britain will pay annually for electricity and gas.
The number of Scots living in poverty has reached its highest for almost 20 years, with “disturbing” figures showing more than 1.1 million adults, children and pensioners are affected.
Scottish Government data shows that over the period 2019 to 2022, there were 1,110,000 people across the country living in relative poverty – meaning the amount of money they have is less than 60% of UK median income after housing costs are taken into consideration.