John Healey to end standing charges on gas bills for 23m homes

On budget day chancellor says he will ask Ofgem to remove ‘unfair and outdated’ fixed daily fee, and also reportedly looking to scrap it from electricity bills

John Healey will abolish standing charges on gas bills for 23m homes to help almost two-thirds of households an average of £45 a year, and will consider steps to remove standing charges on electricity bills in the future too.

The chancellor set out plans to end the “unfair and outdated practice” of applying daily standing charges to gas bills on the morning of his first budget, alongside a series of measures to help ease wider cost of living pressures.