Do I pay standing charges when my business is closed?
Yes. A standing charge is a fixed daily fee for keeping the supply connected, so it continues while you are closed, on both electricity and gas. It only stops when the account is closed and you leave the premises or the supply is formally ended.
Yes, normally. A standing charge is a fixed daily fee for keeping your supply point connected and available, so it is charged whether or not you use any energy. If you close for a week, a month or a summer, it keeps running.
Why it does not pause
The standing charge pays for being connected: network costs, metering and part of the supplier's costs. Your supply is still live and the meter is still registered to you, so the charge continues on both electricity and gas. Some contracts have no separate standing charge and build the cost into the unit rate, which changes how a quiet spell feels. See standing-charge-free tariffs.
What closing costs you: a worked example
Using MoneySuperMarket Business's October 2026 average micro rates (indicative): electricity 58.0p/day and gas 44.9p/day. A seasonal business shuts for 90 days.
- Electricity: 90 × £0.58 = £52.20
- Gas: 90 × £0.449 = £40.41
- Total: £92.61 before VAT, and your own rates may differ
Add the small amount of electricity that fridges, alarms and routers keep using, and the bill is never zero.
Options if you will be closed for a long time
| Option | Good for | Watch for |
|---|---|---|
| Keep supply on, cut usage | Short or seasonal closures | Standing charges continue. |
| Ask the supplier about your options | Regular seasonal closures | Do not assume they will pause charges. Ask in writing. |
| Close the account and leave the premises | Permanent closure | Give the date and a final reading. See closing a business energy account. |
| Stay but switch to a deal that suits low use | Very low usage | Compare total cost, not just the headline rate. |
Empty is not the same as closed. If you keep the lease on empty premises, the supply and the charges can stay in your name. Our page on who pays for empty premises explains who is responsible.
Fixed contracts
Closing your doors does not end a fixed-term contract. Leaving early may trigger an exit charge, so read leaving a contract early before deciding.
Make sure you are not overpaying while closed
Use the quiet period to check for avoidable costs. Confirm that your bills are based on real readings, because estimates during a closure often overstate use. Switch off equipment that does not need to run, but keep the fridge, alarm and anything that protects the building. If your closure is likely to be permanent, give the supplier notice early so charges do not run on after you leave. Ask for a final bill in writing. If you have both gas and electricity, treat each meter separately, because they may have different contract end dates and different standing charges.
Next steps
Look up your daily rate in the bill and multiply by the days closed. Our guide to business energy standing charges explains how they are set.
Sources
General information only. Energy prices, rules and supplier terms change; check the latest position with your supplier, Ofgem or the Energy Ombudsman before you act.