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The UK's Ofgem has launched a consultation on proposals to introduce energy tariffs with low or no standing charges.

Energy regulator Ofgem has announced new plans that will make energy suppliers offer tariffs with low or no standing charges. This will allow energy customers the option of low or no standing charges, instead of paying these charges daily as part of their usual energy bill.

Energy regulator Ofgem has issued a major update on plans to introduce new energy tariffs with no standing charges. Standing charges are a daily charge paid by all households, which cover the fixed costs of delivering energy to homes and businesses. Currently, the energy price cap dictates the maximum amount energy suppliers can charge.

British energy regulator Ofgem on Thursday proposed that all energy suppliers offer tariffs with low or no standing charges, allowing consumers to pay these costs as part of their unit rate, to give them more flexibility in managing energy bills.

Standing charges are set by energy suppliers and rack up daily, regardless of how much energy you use that day.