Ways to Lower Standing Charges on UK Home Energy Bills

What is a standing charge on energy bills?

A standing charge is the fixed daily amount you pay for being connected to the gas and electricity networks in the UK. It is charged regardless of how much energy you actually use and appears on your bill as a daily fee in pence per day (p/day).

For most households, every energy bill is made up of two parts:

• Standing charge – a fixed daily fee for each fuel (electricity and gas).
• Unit rate – the price you pay per kWh of gas or electricity you actually use.

Because you pay standing charges every day, even when your usage is low, they can add up to a large part of your annual energy cost – especially for low-usage households, second homes or empty properties.

Can you actually lower your standing charge?

You cannot negotiate your own standing charge directly with the supplier, but you can choose tariffs with lower standing charges (or occasionally none at all). Suppliers set different combinations of standing charges and unit rates, which means you can select a tariff that better matches how your home uses energy.

For example:

• Some tariffs have a higher standing charge and lower unit rates – often better for high-usage households.
• Others have a lower standing charge and higher unit rates – often better if you use very little energy.

The key to lowering what you pay in standing charges is to choose the right tariff type for your usage pattern and avoid paying for network access you barely use.

1. Compare tariffs that offer lower standing charges

The most direct way to lower your standing charge is to switch to a tariff that has a lower daily fee. Use price comparison tools or your supplier’s website to check the standing charge and unit rate for each available tariff.

What to look for when comparing tariffs

• Standing charge for electricity (pence per day).
• Standing charge for gas (pence per day).
• Unit rate for each fuel (p/kWh).
• Any exit fees or minimum contract lengths.
• Whether the tariff is fixed or variable.

When you compare, always look at the total annual cost based on your actual usage, not just the standing charge. A very low standing charge might be offset by a very high unit rate.

2. Match your tariff to your usage level

Standing charges affect every household differently. To truly cut costs, you need to understand how much energy you use and pick a tariff type that reduces your total spend.

Low-usage households

Low usage typically applies if:

• You live alone or in a small flat.
• You spend long periods away from home.
• The property is a holiday home or is often empty.

In these cases, the standing charge can make up a big share of your bill. Look for tariffs with:

• Lower standing charges, even if unit rates are slightly higher.
• No-standing-charge tariffs if they are available in your area and are good value overall.

Medium-to-high usage households

If your household uses more energy (for example a family in a larger home), a slightly higher standing charge with lower unit rates might work out cheaper overall.

Use recent bills or your smart meter data to estimate your annual kWh usage and run your numbers through a comparison tool. This will help you see the real impact of different standing charges on your total annual cost.

3. Consider tariffs with no standing charge

Some suppliers occasionally offer no-standing-charge tariffs. On these plans, you only pay for the energy you use, with no daily fee. These can suit certain households but are not always the cheapest option overall.

When no-standing-charge tariffs might help

• Homes that are empty for long periods (e.g. holiday homes).
• Second homes you rarely visit.
• Very low-usage households that want to avoid paying daily for access.

Always check the unit prices. Suppliers often set higher per-kWh rates on these tariffs, so if your usage increases, you could end up paying more even with no standing charge.

4. Check if you are on the right meter type

The type of meter you have can affect the standing charges and unit rates you pay. If your household pattern has changed, you may no longer be on the most suitable meter setup.

Economy 7 and multi-rate meters

If you have an Economy 7 or other multi-rate meter, you pay a cheaper unit rate overnight and a higher rate in the day. These tariffs can also have different standing charges.

They usually work best if you:

• Use a lot of electricity at night (e.g. storage heaters, EV charging).
• Can shift appliances like washing machines and dishwashers to off-peak hours.

If your lifestyle has changed and you no longer use much off-peak electricity, you might be better off on a single-rate tariff with a different standing charge and unit rate structure.

Smart meters and flexible tariffs

A smart meter does not automatically lower your standing charge, but it can unlock access to new types of tariffs, such as time-of-use and smart EV tariffs, which may have different standing charge levels.

By understanding when and how you use energy, you can switch to a tariff that gives you the best balance of standing charge and unit rate for your household’s pattern.

5. Avoid paying for unused connections

It is possible to pay standing charges on energy connections you hardly ever use. Over time this can become a significant unnecessary cost.

Examples of avoidable standing charges

• Separate meters for annexes or outbuildings that are rarely used but still attract daily standing charges.
• Old or unused gas connections where the property has switched to electric heating but the gas meter is still active.
• Empty rental properties left on standard tariffs with daily charges, even when nobody is living there.

If you have an energy supply you no longer need, speak to your supplier about options. In some cases you may be able to de-energise or remove the meter and stop paying standing charges altogether. Be aware that reconnection in the future may involve costs, so consider this carefully.

6. Make sure you are not on an expensive default tariff

If your last fixed deal has ended and you did not switch, you may have been moved onto your supplier’s standard variable tariff. These tariffs can have relatively high standing charges and unit rates.

Check your latest bill for phrases such as "standard variable", "default tariff" or "out of contract". If you are on one of these, it is worth checking what other tariffs your supplier, or other suppliers, can offer you.

Even moving to another tariff with the same supplier can reduce your standing charge and overall energy costs, often without any interruption to your supply.

7. Use less energy so the standing charge matters less

While changing your tariff is the main way to directly lower the standing charge, cutting your usage can still reduce how much the standing charge affects your bill as a whole. If your energy usage is high, the standing charge becomes a smaller share of your total cost.

Quick home energy-saving wins

• Heating: Turn your thermostat down by 1°C, bleed radiators and fit thermostatic radiator valves.
• Hot water: Set cylinder thermostats to around 60°C and fix dripping taps.
• Appliances: Use eco-modes, avoid standby where possible and only run full loads.
• Lighting: Replace halogens with LEDs and make use of natural daylight.
• Draught-proofing: Seal gaps around doors, windows and floorboards to stop heat escaping.

These measures do not change the standing charge itself, but they lower the rest of your bill and can make switching to a lower-standing-charge, higher-unit-rate tariff more attractive.

8. Check if you qualify for extra support

If standing charges and energy costs are putting you under financial pressure, you may be entitled to extra support and discounts. These will not remove the standing charge, but they can reduce the overall impact of your energy bills.

• Warm Home Discount – a one-off discount for eligible low-income or vulnerable households.
• Energy supplier hardship funds – some suppliers offer grants to help clear energy debt.
• Priority Services Register – free support for pensioners, disabled customers and those with long-term health conditions.
• Government cost-of-living schemes – check current gov.uk guidance for the latest help.

Contact your supplier as soon as you start to struggle with payments. They have a duty to work with you on affordable repayment plans and may help you find a tariff that better suits your situation.

9. Understand the standing charge vs unit rate trade-off

Choosing the best deal is not only about finding the lowest standing charge. You need to look at the balance between standing charge and unit rate for your usage level.

Simple way to compare options

1. Find your last 12 months of bills or ask your supplier for your annual kWh usage for gas and electricity.
2. Note down the standing charge (p/day) and unit rate (p/kWh) for each tariff you are considering.
3. Multiply the standing charge by 365 to get the annual standing charge cost.
4. Multiply your annual kWh by the unit rate to get your annual usage cost.
5. Add the two together for each tariff and compare the totals.

This shows you the real annual cost, not just which tariff has the lowest standing charge on paper.

10. Steps to take today to lower your standing-charge impact

To start reducing how much standing charges affect your UK home energy bills, work through these simple steps:

• Check your latest bill to see your current standing charges and tariff name.
• Use a price comparison site or speak to your supplier about lower-standing-charge options.
• Make sure your meter type and tariff still match how you live in the property.
• Review any unused connections or second meters you might be paying for.
• Implement quick home efficiency improvements so your total costs fall.

Taking action on these points can help bring your annual energy costs down, even though the standing charge itself is set by suppliers and shaped by Ofgem rules.