A standing charge is a fixed daily amount you pay for your gas or electricity supply, however little you use. It covers costs like the network and meters, and it varies by region.
Checked 8 October 2026Written by the MyBillChecker team
Why it matters
Because it's fixed, the standing charge is a bigger share of the bill for people who use little energy, such as single people or small flats. Two homes in the same region pay the same standing charge whatever their use.
Lower standing charge tariffs
Ofgem consulted in September 2025 on making suppliers offer a lower standing charge tariff, then chose to run a one-year pilot instead. Ofgem says the pilot starts from June 2026 (it was first planned for April). The tariffs are first offered to eligible customers of EDF, E.ON, Octopus and British Gas. Each supplier sets its own terms and eligibility rules, and the number of customers who can sign up is limited (Ofgem).
The catch: a lower standing charge means a higher unit rate. It usually only saves money if you use little energy.
Frequently asked questions
Can I avoid the standing charge?
Only by choosing a tariff with a lower or no standing charge, and these have higher unit rates. A few prepayment suppliers offer them.
