Overview

• Jonathan Brearley says a systematic approach is needed to prevent ‘winners and losers’ as standing charges rise to fund grid decarbonisation.
• Options under consideration include progressive billing models that link fixed daily fees to household income or offer tax-free consumption allowances.
• Standing charges have climbed from an average £182.27 to £334.07 annually in five years, now accounting for nearly 20% of typical energy bills.
• Ecotricity’s Dale Vince backs a 2,000-unit annual levy exemption for low-use households while E.ON UK’s Chris Norbury warns against short-term cost shifting.
• Ofgem has not yet made formal recommendations and will use feedback to shape who ultimately bears the cost of 2030’s clean energy upgrades.