Insights ¦ Consumers’ attitudes towards standing charges

Published by: Ofgem
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Key Take Aways

Most consumers perceive standing charges on energy bills as somewhat or very unfair, with nearly two-thirds holding this view.
Conversely, the majority perceive unit rates as fair, indicating differing consumer attitudes towards various components of energy pricing.
A significant portion of consumers exhibit confusion regarding the trade-off between standing charges and unit rates, with almost a third perceiving both as unfair and fair simultaneously.
Preferences lean towards removing or reducing standing charges, with consumers favouring cost transparency and fairness through use-based charges.
Consumers who favour lowering standing charges often cite reasons related to transparency, fairness, and actual energy usage.
Those who prefer to reduce unit rates tend to value benefits related to ease of bill management.
Nearly 3 in 10 consumers favour completely removing standing charges, while about half prefer a structure t...