UK to scrap gas standing charges
The gist
UK Chancellor John Healey is scrapping gas standing charges for around 23 million homes from 2027.
The fixed fee moves into unit rates, so heavy gas users could pay more.
How it unfolded
- Oct 28, 2026Chancellor John Healey announces in his first Budget that gas standing charges will be scrapped, asking regulator Ofgem to remove them in 2027 or as soon as possible afterwards, with costs moved into the rate per unit of gas used.
- Oct 28, 2026The government says the charges will be removed for around 23 million homes, and the Treasury estimates 60% of households will save an average of £45 a year.
- Oct 28, 2026The government says it will set out targeted mitigation in due course for a small number of households not seeing an automatic saving, while the energy sector cautions the change must be done carefully to shield vulnerable heavy-energy users.