Dual Fuel Standing Charges | Hidden Cost Behind Your Bill

What Is a Standing Charge on a Dual Fuel Tariff?

A standing charge is a daily fee that gets added to your energy bill. This fee stays the same, no matter if you use any units of energy on that day or not. The standing charge helps pay for the energy supply network. This means the cost covers things like looking after pipes and wires. It also goes toward meter maintenance and some other costs for your energy supplier. So, even if you have low energy use or your energy use is very low, you still need to pay the standing charge.

In a dual fuel tariff, you will pay a standing charge for electricity and a standing charge for gas. Your energy supplier uses these standing charges to set its prices, along with the unit rate. The unit rate shows how much you pay for each kilowatt hour of energy you use. If you want to see how these costs impact your home, it is a good idea to compare energy prices from different suppliers. This will help you find out which tariff is cheaper for you.

How Do Standing Charges Work in UK Energy Tariffs?

Standing charges are part of the energy price cap set by Ofgem. This means that both your gas and electricity charges have a limit for standard variable tariffs. These are also known as default tariffs. So, the price you pay for energy is controlled by the energy price cap.

The daily fee does not change from day to day, no matter how much energy you use. Even if you have low energy use, you still need to pay the same daily fee. The annual standing charge can bring the yearly cost up by several hundred pounds. You pay this just to be connected to the network.

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Are Standing Charges the Same for Gas and Electricity?

No. The standing charges for electricity are often more than the ones for gas. For the price cap time from 1 October to 31 December 2025, Ofgem gave the usual standing charges for a home that pays by direct debit at about:

• Electricity: You pay 53.68 pence each day for the electricity standing charge. The unit rate is about 26.35 pence for every kWh you use.
• Gas: The standing charge for gas is 34.03 pence every day. The unit rate is about 6.29 pence for each kWh.

These numbers are for all of the country. The actual cost can go up or down. It depends on where you are and the energy supply network in that area.

How Much Are Dual Fuel Standing Charges in 2025?

For the time from 1 July to 30 September 2025, Ofgem set the standing charge at about 51.37 p per day for electricity. The charge for gas will be about 29.82 p per day.

From 1 October to 31 December 2025, the charge for electricity went up to about 53.68 pence each day. For gas, the charge was about 34.03 pence per day during this time.

If you live in a home that uses both gas and electric, the standing charge by itself can add over £320 a year. That is before you even pay for the units of energy you use.

Do Standing Charges Change with the Ofgem Price Cap?

Yes. Ofgem reviews the energy price cap every three months. This update changes both the standing charges and the unit rates of your energy price.

Electricity standing charges went up from around 51.37p to 53.68p each day. This happened between July–September 2025 and October–December 2025. Gas standing charges also got higher. The price went from 29.82p to 34.03p per day during this time.

The regulator changes charges to match what things cost in the energy market. This includes costs for keeping up the network and what suppliers need to spend to run their business.

How Do Standing Charges Affect Low-Usage Households?

If you use less energy, you pay a small unit rate on your energy bill. But, the fixed daily charge does not change. Because of this, the standing charges will be a bigger part of your energy bill.

• A home that uses very little power or gas can still end up paying over £300 a year just because of standing charges.
• This means energy is not cheap for vulnerable households or people who do not have much money.
• Government support schemes like the Warm Home Discount Scheme can help. But standing charges are still a big cost for homes that do not use much energy.

Can Standing Charges Make a Cheap Tariff Expensive?

Yes. A tariff may seem cheap because it has low unit rates. But it can cost more to have, if there are high standing charges you need to pay.

• If a household uses much energy, the unit rate is the thing that shapes what they pay most. So, they might not see big changes in their bill.
• A household that has low energy use may feel the fixed daily amount more. This fixed part can make one bill cost more than another. This could still happen even when the unit rates look lower.

Always look at both the unit rate and the standing charge when you check for the best deal.

Are There Dual Fuel Tariffs Without Standing Charges?

Some suppliers have tariffs with no standing charge. But, these tariffs often have much higher unit rates. This means they will only save you money if you do not use much energy.

Most homes that use an average amount or a lot of power will usually pay more when there is no standing charge in their tariff. The price for each unit be higher, so any saving goes away fast. Over time, these people can end up with bigger bills.

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How Can You Compare Standing Charges Across Energy Suppliers?

To make an accurate comparison:

1. Have a look at your latest bill. You will find the daily standing charge and the unit rate that you pay.
2. When you compare different tariffs, make sure to check both the unit rate and the standing charge together.
3. Use an energy comparison tool with your postcode to see which suppliers have the lowest standing charges in your area. This helps you compare energy prices and identify whether a dual fuel deal or separate suppliers offer the best deal.
4. Find out if your tariff is fixed or variable. A fixed daily standing charge will stay the same until your deal ends. A variable tariff can change when Ofgem updates the price cap.
5. Think about how you pay. Paying with direct debit is mostly cheaper than using standard credit or a prepayment meter.

FAQs About Dual Fuel Standing Charges