Politics · United Kingdom · 2 hrs ago
UK ministers to examine removing standing charges from gas bills
Prime Minister Andy Burnham asked ministers to examine removing gas standing charges from household bills in the UK.
He asked Chancellor John Healey and Energy Secretary Miatta Fahnbulleh to report back to MPs as soon as possible.
Standing charges are fixed daily fees, paid regardless of how much gas a household uses.
They cover the cost of delivering energy and maintaining the network, rather than the gas itself.
The proposal comes as households face pressure from rising energy bills: the price cap rose 4% on October 1, and a forecast predicts a further rise in January.
Removing the charges could ease some household costs, but the ministers have been asked to assess whether it is possible; no decision to scrap them has been announced.
Burnham also said the government’s approval of the Jackdaw gas field would help fund renewable energy and efforts to reduce the link between gas and electricity prices.
Andy Burnham said ministers would examine whether standing charges can be removed from household gas bills.
He asked Chancellor John Healey and Energy Secretary Miatta Fahnbulleh to report back to MPs as soon as possible.
Burnham said the move could help people with bills, alongside investment in renewables and efforts to reduce the link between gas and electricity prices.
The announcement came during Prime Minister’s Questions, amid concern about rising household energy costs.
Conservative leader Kemi Badenoch criticised the government’s delay in approving the Jackdaw gas field and called for an end to the ban on new oil and gas licences.
- Who
- Andy Burnham announced the review. He asked Chancellor John Healey and Energy Secretary Miatta Fahnbulleh to carry it out.
- What
- Ministers will consider whether to remove standing charges from gas bills.
- When
- October 21, 2026, during Prime Minister’s Questions.
- Where
- The House of Commons.
- Why
- Burnham said the review was intended to help people with bills and ease household cost pressures.
Andy Burnham and the government
Kemi Badenoch and the Conservatives
Jackdaw approval
Andy Burnham and the government
Burnham called the decision pragmatic and said it could support investment in renewables and help bring bills down.
Kemi Badenoch and the Conservatives
Badenoch criticised the government for taking two-and-a-half years to approve the field.
Oil and gas licences
Andy Burnham and the government
Burnham said Jackdaw-related resources could help fund a bridge to a renewable future.
Kemi Badenoch and the Conservatives
Badenoch called for the government to repeal its ban on all new oil and gas licences.
A 4% increase in Ofgem’s energy price cap took effect.
Ofgem chief executive Tim Jarvis warned of a difficult winter and said people would struggle without help.
Burnham told the Commons that ministers would examine removing standing charges from gas bills.
Cornwall Insight forecast that the price cap could rise by 16% to £1,999 a year.
- Standing charges
- Fixed daily fees added to energy bills regardless of how much gas or electricity a customer uses
- Review
- John Healey and Miatta Fahnbulleh were asked to examine removing gas standing charges
- Price cap forecast
- £1,999 a year from January 1, according to Cornwall Insight
- Forecast increase
- £276 above the October-to-December level
- VAT relief
- 5% VAT was temporarily removed from electricity bills until March 31 next year; gas still carried 5% VAT
3 sources
What people are saying
I have asked the Chancellor and the Energy Secretary (Miatta Fahnbulleh) to look at whether we can remove standing charges from gas bills and to report back to this House at the earliest opportunity.
What we have lost is the confidence to make tough decisions
It’s going to be a difficult winter.