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Energy companies could be forced to offer tariffs without standing charges under new plans proposed by regulator Ofgem.

At present, all households pay a set daily charge which is designed to cover connection costs, but this has been heavily criticised amid calls for it to be ditched.

Now, the BBC reports, regulatory body Ofgem is proposing a new policy which would see firms made to offer a standing charge-free option.

Under the plans, suppliers would offer customers one tariff including a standing charge which is price-capped, and another that loads the charges on energy usage instead.

The changes, if approved, would come into force next winter and the BBC reports it could mean some previously accrued unpaid bills could be written off.

An Ofgem survey revealed customers were overwhelmingly against standing charges, which has risen by 43% since 2019.

Dhara Vyas, chief executive of Energy UK, which represents suppliers, warned: "It would be a major undertaking to make all customers aware of this change and to ensure they then choose the best option for their circumstances."

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