Story perspectives

Burnham urges scrapping 29.68p gas standing charges

By Drooid · Oct 23, 2026, 5:09 PM UTC · How we work

Center

Bills Could Hit £2,100

Prime Minister Andy Burnham asked the Chancellor and Energy Secretary to consider scrapping gas standing charges during Prime Minister's Questions on 21 October 2026.
The proposal was framed as a pragmatic way to free funds for renewable investment and to separate gas prices from electricity rates.
Ofgem reports the gas standing charge is 29.68 pence per day, about £108 annually for customers.
Energy UK warned household bills could rise to £2,100 by January, up from £1,723 now.

Left

Abolish Gas Charges

Minister Andy Burnham asked Chancellor and Energy Secretary to consider scrapping gas standing charges during Minister's Questions on 21 October 2026.
Martin Lewis said scrapping gas standing charges would help low-income families and ease cost-of-living pressures.
Doubling the £150 warm-home discount was suggested for low-income households.
He set priorities: end standing charges, reverse student-loan freeze, protect retirees’ pay.
Experts warned budget could raise taxes as inflation hit a high in August.

Blindspot

The government cut VAT on household electricity to zero until 31 March 2027, saving a typical household roughly £45 per year, according to the Center-leaning sources.
Within this story's sources, this angle appears mainly in Center-leaning coverage and receives less attention in Left-leaning coverage.

History

Historical Context

In October 1973 the OAPEC embargo quadrupled oil prices, hitting a UK still dependent on imports because North Sea fields discovered in 1969 wouldn’t produce until 1975. Heath and Chancellor Denis Healey capped gas at 30 pence per day, while British Gas wholesale costs rose 70 %. The crisis inspired the 2019 Ofgem price-cap and today Andy Burnham’s call to scrap the £108-a-year standing charge.

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Bills Could Hit £2,100

Prime Minister Andy Burnham asked the Chancellor and Energy Secretary to consider scrapping gas standing charges during Prime Minister's Questions on 21 October 2026.
The proposal was framed as a pragmatic way to free funds for renewable investment and to separate gas prices from electricity rates.
Ofgem reports the gas standing charge is 29.68 pence per day, about £108 annually for customers.
Energy UK warned household bills could rise to £2,100 by January, up from £1,723 now.

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