Energy firms could be forced to help poorer consumers
March 21, 2008
In his first budget the Chancellor of the Exchequer, Alistair Darling, has stated that he wants energy firms in the UK to do more to help poorer consumers that struggle to pay their bills, and has said that if the energy firms do not act voluntarily he will take action to force them to help more vulnerable consumers. Darling wants to get a better deal for customers that pay their gas and electricity through pre-paid meters, and wants utility firms to triple funding for their poorest customers.
Darling stated: “We want to see the 5 million customers on prepayment meters given a fairer deal and energy companies to increase their support to vulnerable customers.”
Speaking of the fifty million pounds currently spent by utility firms on helping poorer customers he added: “I want to see this rising to at least 150 million pounds a year over the period ahead. We are committed to helping people who need the help most… We will legislate if it is necessary.”
Energy firms have hiked up their prices over the past couple of months, claiming that increased wholesale energy prices have forced them to push up the cost of energy usage, which will see many customers paying a fortune for their energy costs and will result in many being pushed into fuel poverty at a time when other rising costs, such as food, petrol, and mortgage repayments, are already causing financial worries for many households.
Darling has also stated that energy costs have tripled since 2002, and said that he will ensure that elderly people will receive an increase to make sure that they can afford to pay their electricity bills during the colder months.
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