Service Charges, a rip-off

I have written to and received a reply from an agency whose remit is

to assist people in changing their Fuel Suppliers.

Like so many, I object strongly to paying a Service - they call it a 

Standing Charge.  No matter how I do the equation, I cannot satisfy 

myself that this Rule benefits the elderly, low user.  In fact, it is an 

extra TAX on beleaguered people, many pensioners and those on 

low earnings.

Why is it necessary for absentee occupants to pay for an unused 

service just because there are supply lines into the home?  It is the 

same with water. Standing Charges are immoral and an easy goto 

for poorly run Service Providers abetted by inept political mice.

Thank you for contacting us.

According to the recently introduced new rules from 

the energy regulator Ofgem, all new tariffs must now 

have a standing charge. It is up to the supplier to set

this standing charge and the standing charge can be set

to zero as well. An often heard rule of thumb is "If 

your home is empty for nine months or more per year, 

it's worth checking whether a zero standing charge 

tariff wins for you." However, there are not many zero 

standing charge offers available right now. Energy 

suppliers Ebico, Green Energy and Npower have zero 

standing charge tariffs available (please note though,

these are not dual fuel offers). 

Be aware that tariffs with a low standing charge are 

likely to charge a higher unit rate. Therefore, it is 

always wise to do a comparison of your current annual  

spending and your projected annual spending. We do 

cooperate with some of the suppliers who do not charge 

a standing charge so it might be worth signing up for 

the collective switching scheme and wait for the offer.

Alternatively you can look on a comparison website, e.g. 

the website of the Ofgem accredited The Energy Shop. 

We hope this has provided you with enough information.

If you have any further questions please let us know, 

we will be happy to assist you.

Kind Regards,

Rob

The average Standing Charges are in the region of 19p 

to 24p per day or £78 minimum per annum.  That is 

unreasonable and unfair.  The last quote I had to change 

my supplier showed an annual increase of £164. Most, not 

all, was Standing Charge.  The increase is because I am a 

LOW user and prudently do not run appliances when I need 

not.  For prudence, like so many pensioners, I am also

forced into a higher payment scheme. Robbed all round.