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Business
Catherine Furze

New call to scrap standing charge as families struggle with energy rises during cost of living crisis

An energy campaign group has made fresh calls for standing charges on electricity and gas bills to be scrapped, as many customers struggle with soaring prices. A new survey by Fuel Poverty Action (FPA) shows that nearly 81% of customers support the idea of scrapping the charge on every customer’s energy bill, which must be paid regardless of how much they use.

The group has written to Ofgem about the way the costs of failing suppliers have been loaded on the standing charge, which it calls a “grotesque injustice” and has called for a free band of energy for every household to cover their more urgent needs.

The energy price cap rose more than 50 per cent in April, meaning a typical household is paying as much as £1,900 for their domestic fuel. The cap is expected to rise again in October to a staggering £3,200, which Fuel Poverty Action says will mean that more than a third of all households will be facing 'fuel poverty' by Christmas.

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