ScottishPower has updated the breakdown of variable costs within its Flexi 2025 product, with the figures for the quarter beginning 1 July 2025 now shown alongside those for 1 April 2025 and 1 October 20251. The page sets out each component cost, who sets it, how it is tracked and whether it is applied to the unit rate or the daily standing charge1. Most components are described as linked to the costs included in the price cap set by Ofgem1.
The clearest change for the July quarter is in smart meter costs, covering the Data Communication Company and Smart Energy GB. On electricity, the standing charge for this component rises from 4.35p per day to 4.42p per day, and is shown rising again to 4.71p per day from 1 October 20251. On gas, the same component rises from 3.29p to 3.34p per day, then to 3.55p per day1. The Capacity Market unit rate falls for the July quarter in the regions shown, for example from 0.943p to 0.919p per kWh on Eastern single rate electricity and from 0.913p to 0.889p per kWh in East Midlands1.
Several components are unchanged between April and July. The Renewables Obligation unit rate is 3.306p per kWh across the periods shown, the Transmission Network Use of System standing charge is 13.5p per day, and the Green Gas Levy standing charge is 0.821p per day1. The Assistance for Areas with High Electricity Distribution Costs unit rate is 0.048p per kWh in both April and July, falling to 0.045p per kWh in October1. ScottishPower describes that charge as one applied to all consumers to offset the significant distribution network costs for consumers in remote and island communities in Scotland1.
"Breakdown of variable costs that may change each quarter"
The page presents the figures region by region, and the values for some components differ between regions. Distribution Use of System unit rates, for instance, are shown as 2.598p per kWh on Eastern single rate electricity and 2.013p per kWh in East Midlands1. The published tables cover the periods 1 April 2025, 1 July 2025 and 1 October 20251.
| Component | Applied to | 1 Apr 2025 | 1 Jul 2025 | 1 Oct 2025 |
|---|---|---|---|---|
| Smart meter costs, electricity | Standing charge (p/day) | 4.35 | 4.42 | 4.71 |
| Smart meter costs, gas | Standing charge (p/day) | 3.29 | 3.34 | 3.55 |
| Renewables Obligation | Unit rate (p/kWh) | 3.306 | 3.306 | 3.306 |
| Transmission Network Use of System | Standing charge (p/day) | 13.5 | 13.5 | 13.5 |
| Green Gas Levy | Standing charge (p/day) | 0.821 | 0.821 | 0.821 |
Why it matters for households
These are the building blocks of a variable tariff, not the final price a household pays. They show which parts of a bill move each quarter and which are fixed, and they separate costs set by government, by network operators and by industry auctions from the supplier's own margin. For a household, the practical effect is that a change in any one component shifts the unit rate or the standing charge even when the overall tariff structure stays the same. The smart meter component is the one that moves most clearly in this update, and it sits on the standing charge, so it is paid regardless of how much energy is used. Households on restricted meter arrangements such as Economy 10 or Economy 7 with a smart meter see the same component costs applied within their own rate structures. The Capacity Market element, which pays generators to keep supply available, falls slightly in the July quarter in the regions shown, while the Balancing Services Use of System rate is unchanged in July and rises in October1.
What happens next
The page already shows figures for the quarter from 1 October 2025, when the smart meter standing charge component rises again and the Balancing Services Use of System unit rate increases1. No further quarterly update beyond that date has been reported.
Sources1 cited
- flexi-2025-charges | Gas and Electricity Company | ScottishPower, scottishpower.co.uk