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Compare No Standing Charge Tariffs

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How to find and compare no standing charge tariffs

If you take a look at your energy bill, you’ll most likely notice a ‘standing charge’ along with your gas and electricity usage.

However, did you know that there are energy tariffs available for both homes and businesses where a standing charge is not applied?

If your home or business has a low or infrequent energy usage, you could save money by switching to a no standing charge tariff.

To help you choose the right tariff for your needs, Love Energy Savings explain exactly what a standing charge is and the benefits of no standing charge tariffs.

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Domestic Electricity

What is a standing charge?

A standing charge is a daily fee that you pay to your energy provider for delivering energy to your home or business. This charge is automatically included in your energy bills and covers the following expenses:

  • Network maintenance
  • Meter readings
  • Energy network connection
  • Government initiatives
  • Energy transportation and distribution.

The standing charge, along with your unit rate and electricity usage, makes up your energy bill.

How do standing charges work?

Standing charges will be listed on your energy bill at a daily unit rate. Those on a dual fuel energy tariff will pay both a gas standing charge and an electricity standing charge.

Since the Retail Market Review, all tariffs are now structured with a clear unit rate and a standing charge. The aim of this was to simplify energy contracts and make it easier for consumers to compare tariffs and find the best energy deal for them.

How much do domestic standing charges cost?

Your daily standing charge will depend on your energy supplier. Typically, domestic standing charges range from:

  • 5p to 60p per day for electricity
  • 10p to 80p per day for gas

Over the course of a year, these charges can add up to a substantial sum running well into the hundreds of pounds.

What is the cost of business standing charges?

The cost of business standing charges will vary depending on your supplier, the size of your business and they type of business energy contract you are on.

Business standing charges can cost between:

  • 15p to 160p per day for electricity

If you are on a fixed price contract, standing charges may displayed on your business energy bill as either pence per day or pounds per month.

These charges may seem small, but they’ll have a significant impact on your monthly energy bills. These charges add up per day, so you should always consider a tariff’s standing charge when comparing energy deals.

What is a no standing charge energy tariff?

When selecting an energy tariff, you have the option of choosing an energy deal with no standing charge. This simply means that you will only be charged for the energy you use, instead of also paying a daily fee. Bear in mind, however, that zero standing charge tariffs often have higher unit rate costs.

What are the benefits of a no standing charge tariff & who are they best suited to?

There are several benefits of no standing charge tariffs. These include:

  • No daily charges ­– you only pay for the energy you use
  • Unit rates can be reduced once you use a certain amount of energy

Due to these advantages, a no standing charge tariff is typically best suited to properties that aren’t in frequent use. For instance, a home that is only occupied for a few months a year could benefit from a no standing charge tariff and will only be charged for the energy used when someone is present in the property.

Could homeowners save money with a no standing charge tariff?

The main benefit of a no standing charge is that you will only pay for the energy you use.

This can be ideal for anyone who owns a property they will not be using year-round, such as a holiday home. When you are not using the property, you will have little to no energy costs to pay.

However, choosing a no standing charge tariff will often mean you have to pay higher energy unit rates for the gas and electricity you do use.

Whether you can save money on your energy bills with a no standing charge tariff will depend on your individual circumstances.

Although high energy users would be unlikely to see savings, if your energy use over the year is relatively small, you could find savings with a no standing charge tariff.

Should businesses switch to no standing charge tariffs?

As with all energy tariff options, no standing charge business energy deals have their advantages and disadvantages.

Only paying for the energy you use can be particularly useful for seasonal businesses who may not operate at all for periods of the year. With a no standing charge tariff, you won’t be facing energy costs whilst the business isn’t operating.

Businesses which only open for a few days a week may also benefit from a no standing charge tariff.

However, as with domestic users, businesses will likely pay higher energy unit rates for the gas and electricity used. For high energy users, this comes mean an increase in your overall energy costs.

At Love Energy Savings, we have a team of business energy experts who can provide advice on choosing the right tariff when comparing business energy.

By switching your business energy with us, you will have a dedicated account manager to support you throughout the switching process.

Do prepayment meters have standing charges?

Even if your property has a prepayment meter, you’ll still have to pay a standing charge for your energy supply. This can typically cost around 28p per day.

The standing charge has to be paid regardless of whether you use energy or not. If you don’t have any credit on your meter, you’ll be required to pay for the unsettled standing charges the next time you top-up.

How to switch to a no standing charge tariff with Love Energy Savings

At Love Energy Savings, we work with a wide range of suppliers to bring you the best possible choice when it comes to finding the right gas and electricity deal for you.

With our innovative energy comparison engine, you can even compare our best no standing charge tariffs. Our dedicated account managers will then handle the entire switching process on your behalf.

Try our free comparison tool to find out how much you could save by switching to a no standing charge today.

No Standing Charge Tariff FAQs

  • Where on my energy bill can I find the standing charge?

    You can usually find your standing charge marked as units of daily usage on your bill.

  • What are the disadvantages of no standing charge tariffs?

    The main disadvantage of tariffs with no standing charge is the higher unit costs. These expensive rates can cause your energy bills to rise if you use a significant amount of energy. Fixed-rate tariffs that include a standing charge tend to offer cheaper and more competitive unit rates.

  • Which suppliers offer no standing charge tariffs?

    Most energy suppliers will offer a no standing charge option to their customers. With Love Energy Savings, you can compare our huge range of trusted energy suppliers in a matter of seconds.

    To compare the latest no standing charge tariffs, simply complete our quick online energy comparison tool.

  • How do I switch to a no standing charge tariff?

    If your current energy tariff is up for renewal and you’d like to switch to a zero standing charge tariff, we can help you find the best deal for your needs. All you have to do is use our free comparison tool. Within a few moments, we’ll provide you with a range of options from our handpicked panel of energy suppliers.

    Our services don’t stop there, we’ll be right by your side throughout the switching process, ensuring that you’re kept up to date on the progress of the switch.

    It’s important to note that if you choose to switch before your current contract is up for renewal, you may be charged an exit fee.

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