Burnham proposes plan to cut standing charges from gas bills
UK Prime Minister Andy Burnham has requested a government review into removing fixed standing charges from gas bills. The proposal aims to lower costs for low-income households, though industry experts warn it could shift costs to heavy energy users.
Why it matters
Energy affordability is a major political issue, and changing billing structures could significantly impact household budgets.
Image source, Getty Images By Tom Espiner , Ben King , Business reporters and Kevin Peachey , Cost of living correspondent Published 3 hours ago Prime Minister Andy Burnham has asked ministers to develop a plan to remove standing charges from gas bills.
These are fixed daily fees that cover the costs of connecting to a supply. They vary by region and households must still pay them even when energy is not being used.
Industry body Energy UK said whether the proposed changes would make a difference to bills would depend on how or where the charges were reallocated on the bill.
But an influential research foundation argued it would be a progressive move that would help those on low-incomes and knock £27 off a typical annual bill.
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