Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, whether her Department has made an assessment of the potential merits of bringing forward legislative proposals to remove (a) electricity and (b) gas standing charges for customers on pre-payment meters.

The standing charge is a fixed charge that suppliers pass on to their customers to cover the cost of providing a live supply. It includes the cost of using pipes and power lines carrying the supply, the maintenance and installation of meters and billing and accounting.

Ofgem has recently consulted on levelling the cost of standing charges on Prepayment Meters by socialising prices across payment types, to make standing charges more equal across different payment types. Ofgem is currently considering the responses, with an aim to implement changes in April 2024, following the end of the Energy Price Guarantee.