Standing charge shock
A common UK household complaint is opening an energy bill and feeling the usage looks reasonable, yet the total is far higher than expected. The line that usually causes the argument is the standing charge: a daily fee added whether any gas or electricity is used or not. It often shows up most sharply in summer (low usage but bills still arrive), in empty properties, or after a switch when the first bill includes a longer period than expected.
Typical patterns seen in UK cases include: a direct debit that suddenly rises after a review, a “catch-up” bill after estimated readings, or a prepayment customer noticing credit disappearing even with appliances off. Standing charges can also look worse when a tariff has a low unit rate but a high daily charge, or when a household is on a default tariff after a fixed deal ends.
What standing charges cover
Standing charges are meant to cover fixed costs that do not change with how much energy is used. In practice, suppliers describe these as things like maintaining the network, metering costs, billing and customer service, and government or industry schemes. The exact breakdown is not itemised on most bills, so the best way to judge it is by comparing tariffs and checking whether the charge matches what was agreed at sign-up.
In the UK, standing charges are shown as pence per day (or pounds per day) and are charged for each fuel separately. That means dual-fuel households can pay two daily charges. Even if the boiler is off and the electricity use is minimal, the daily charges still accrue.
Why the bill looks wrong
Check the billing period
Many “standing charge spikes” are just longer billing periods. A bill covering 40–60 days rather than a calendar month can make the standing charge line look unusually high. Compare the “from” and “to” dates on the bill with the previous statement and check whether there was a gap, overlap, or delayed bill.
Spot estimated readings
If the meter reading is estimated, the supplier may later rebill when an actual reading arrives. This can create a larger total that feels like a new charge, when it is actually a correction across the same period. Look for “E” (estimated) versus “A” (actual) next to readings. For smart meters, check whether the bill says readings were “smart” or “customer”.
Confirm the tariff details
Standing charges vary by region and tariff. A household may have switched based on a headline unit rate, then later notice the daily charge is higher than the previous deal. Check the tariff name on the bill and compare it to the welcome email or contract summary. If the tariff ended, confirm whether the account moved to a standard variable tariff and whether the standing charge changed at that point.
Look for split-rate meters
Economy 7 and other multi-rate meters can complicate bills. Some households are billed on the wrong meter configuration after a switch, leading to confusing charges and sometimes incorrect totals. If the bill shows two unit rates but the meter is single-rate (or vice versa), it is worth challenging early.
Check prepayment deductions
On prepayment meters, standing charges are often taken daily from credit. If the meter runs out, the standing charge can still accrue as debt on some setups, then be recovered when topped up. This can look like money “vanishing” after a top-up. The meter screen usually shows standing charge, debt, and emergency credit information.
Step-by-step fixes
Find the daily rate
Locate the standing charge line on the bill and note the p/day figure for gas and/or electricity. Multiply by the number of days in the billing period to see if the total matches. If it does, the issue is usually not a miscalculation but a tariff or period problem.
Match it to the contract
Check the tariff information from sign-up: welcome pack, tariff confirmation, or online account documents. Standing charges can change on variable tariffs, but fixed tariffs should match what was agreed for the fixed term (subject to any clearly stated changes). If the bill’s standing charge is higher than the contract, ask the supplier to explain the change in writing.
Submit accurate readings
Provide up-to-date readings (or confirm smart meter readings are being received). Take clear photos showing the meter serial number and the reading. This helps stop repeated estimates and reduces the chance of a later rebill that makes the standing charge total look inflated across a longer period.
Ask for a bill breakdown
Request a full statement of account for the period, including dates, readings used, tariff name, unit rates, standing charges, and any adjustments. If the supplier has rebilled, ask for both the original and revised calculations. Households often find the issue is a date range error, a tariff mismatch, or a missing payment allocation.
Compare tariffs carefully
If the standing charge is simply high on the current tariff, compare alternatives using the same annual usage assumptions. A tariff with a lower standing charge may have a higher unit rate, so the “best” option depends on usage. Low-usage households (small flats, empty properties, second homes) are usually hit hardest by high standing charges.
Check for billing errors
Common correctable errors include: charging standing charges for the wrong meter point, billing two electricity meters when only one exists, or charging for a period after a move-out date. If there was a recent move, provide tenancy dates, completion statements, and the move-in/move-out readings.
Raise a formal complaint
If the supplier’s responses are slow or inconsistent, use the supplier’s complaints process and keep everything in writing. Ask for: confirmation of the correct tariff, corrected bill if needed, and a clear explanation of any standing charge changes. Keep a timeline of calls, emails, and promised actions.
If it’s left alone
When standing charge disputes are ignored, the usual outcome is debt build-up and escalating contact from the supplier. Direct debits may be increased to recover arrears, which can create a cycle where payments rise faster than expected. For prepayment customers, the meter may recover debt automatically, reducing available credit and increasing the risk of self-disconnection.
If the account falls into arrears and remains unresolved, it can lead to default markers on credit files or, in more serious cases, court action for debt recovery. For related credit-file issues, the patterns are similar to other billing disputes: the earlier the evidence is gathered and the dispute is logged, the easier it is to prevent long-term damage. Where a supplier or debt collector threatens legal action, it can help to understand how a County Court Judgment explained process typically works in UK debt cases.
When to escalate
Escalate after deadlock
If the supplier issues a deadlock letter, or if the complaint has been open for around eight weeks without resolution, escalation is usually appropriate. Ask for the complaint reference, a deadlock position if they believe nothing more can be done, and a final response in writing.
Gather strong evidence
The evidence that most often moves an energy standing charge dispute forward includes:
- Photos of meter readings with dates and the meter serial number visible
- Copies of the tariff confirmation or contract summary showing standing charge and unit rate
- The bill(s) showing the disputed period and any rebills
- Move-in/move-out documents if the property changed hands
- Bank statements showing direct debit payments and dates
- Notes of calls (date, time, name/ID, what was promised)
Ask for practical remedies
When the standing charge is correct but unaffordable, the most realistic remedies tend to be: switching tariff (if possible), adjusting direct debit to match realistic usage, or agreeing a manageable repayment plan for arrears. When the standing charge is wrong due to tariff or billing error, the usual remedy is a corrected bill, reallocation of payments, and removal of any incorrect arrears status.
Common questions
Can standing charges be removed?
For most domestic UK tariffs, standing charges apply and cannot be removed on request. The practical option is comparing tariffs and checking eligibility for support schemes if bills are unaffordable.
Why pay when no energy is…
The charge is for fixed costs linked to keeping the supply available and running the account. This is why empty properties still accrue daily charges unless the supply is formally disconnected.
Are standing charges the same everywhere?
No. They vary by region, supplier, and tariff, and can change over time on variable tariffs.
Can a supplier backdate standing charges?
If a bill was estimated or delayed, a later bill may cover a longer period and include standing charges for those days. If the supplier billed the wrong tariff or wrong dates, challenge it and ask for a corrected statement of account.
Do prepayment meters charge standing charges…
Yes, usually. The meter often deducts the standing charge each day from available credit, and some setups can recover missed charges as debt after top-ups.
Before you move on
Pull out the last two bills, the tariff confirmation, and a dated photo of the meter reading, then write down the exact billing dates and the standing charge p/day so the numbers can be checked quickly in one place. If you felt pushed to accept a higher direct debit immediately or told there was no time to query the bill, that’s often a sign the process wasn’t handled properly.
Get help with the next step
If the standing charge still does not match the tariff agreed, or the account is being chased while the figures are disputed, use the evidence above and ask for the issue to be put in writing. Contact UKFixGuide here: https://ukfixguide.com/contact/.
Helpful links
1 thought on “Standing charges explained (UK)”