Decision on adjusting standing charges for prepayment customers

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August 2024 Update: We have published an open letter to outline that the levelisation of debt-related costs across Standard Credit (SC) and Direct Debit (DD) customers workstream (also known as Levelisation Phase 2) has been paused. We will provide an update on our wider debt policies in Autumn 2024.

This is our decision on adjusting (or ‘levelising’) standing charges for prepayment meter (PPM) and direct debit (DD) customers from April 2024, with an accompanying reconciliation mechanism. This will make payment methods more equal or equitable (but less cost-reflective). Before the end of the first year, we will review the impact and operation of the levelisation of PPM and DD standing charges.

Main document

[Decision on adjusting standing charges for prepayment customers [PDF, 1.04MB]

](https://www.ofgem.gov.uk/sites/default/files/2024-02/Decision%20on%20adjusting%20standing%20charges%20for%20Prepayment%20Customers.pdf)

Subsidiary documents

[Decision Notice for Standard Licence Condition 28AD - Feb 24 [PDF, 187.06KB]

](https://www.ofgem.gov.uk/sites/default/files/2024-02/Decision%20Notice%20for%20Standard%20Licence%20Condition%2028AD_Feb%2024.pdf)

[Regional Levelisation Analysis Model - Single Rate [XLSX, 831.62KB]

](https://www.ofgem.gov.uk/sites/default/files/2024-02/Regional%20Levelisation%20Analysis%20Model%20-%20Single%20Rate.xlsx)

[Regional Levelisation Analysis Model - Multi Rate [XLSX, 476.86KB]

](https://www.ofgem.gov.uk/sites/default/files/2024-02/Regional%20Levelisation%20Analysis%20Model%20-%20Multi%20Rate.xlsx)

[Levelisation update open letter - August 2024 [PDF, 65.92KB]

](https://www.ofgem.gov.uk/sites/default/files/2024-08/Levelisation_Update_Open_Letter_Aug%2024.pdf)

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