Energy Standing Charges Hit UK Food Sector
UK Food Producers Flag Sharp Rise in Energy Standing Charges
UK food manufacturers and primary producers are warning of significant increases in energy standing charges from April, raising fresh concerns about production costs and food price inflation.
According to reporting by The Guardian, indoor growers and meat processors are among those highlighting what they describe as “eye-watering” rises in fixed energy charges, separate from unit consumption costs.
Industry representatives argue that higher standing charges will add unavoidable overhead pressure, particularly for energy-intensive operations such as refrigeration, cold storage and continuous processing plants. Unlike variable energy use, standing charges apply regardless of output levels, limiting producers’ ability to offset costs through efficiency measures.
The sector warns that sustained cost escalation could affect competitiveness against imported food, while also feeding through to retail pricing over time.
Producers are calling for greater transparency and policy intervention to ensure domestic food production remains viable amid mounting input cost pressures.
Source: The Guardian | 22 February 2026
Read full article Share on X