Poorer households who use less energy will be paying more this year due to increases in the daily standing charge - while those who use the most energy benefit from falling unit prices
Ofgem is expected to announce a reduction in the energy price cap
While the price per unit of energy is falling, this will be offset by a rise in the daily standing charge – meaning that those who use less energy will be paying more this year than previously, while households that use more energy will benefit the most from falling prices. Of the poorest tenth of households, almost a quarter are facing a £100 increase in energy bills this winter – compared to around one in eight households overall.Most consumers’ energy bills are made up of two components – per-unit prices, paid based on the amount of gas or electricity you have consumed , plus a daily standing charge, paid by all customers no matter how much energy they have used.
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