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Two energy companies raise their prices today

Posted by Cathy Debenham on 12 October 2012 at 4:08 pm

British Gas announced today that electricity and gas prices would be increasing by 6% for their customers. Npower followed suit with a 8.8% hike for gas and 9.1% for electricity.

The price increase comes at a time when there are already 6 million households in fuel poverty across the UK, spending more than 10% of their income paying their energy bills.

Ed Matthew, Campaign Director of the Energy Bill Revolution said: “This increase will plunge many more homes into fuel poverty.  That means more financial hardship, more hospital admissions and more suffering for children and the elderly. The Government’s energy efficiency policies are badly under-funded and must be supported by major public investment if they are to have any chance of success.  The Government must support the Energy Bill Revolution to use the billions it will raise in carbon revenue to super-insulate all the homes of the fuel poor. It is the only permanent solution to end the suffering.”

Soaring gas prices are the main reason why fuel bills have rocketed in recent years according to Paul Steedman, Friends of the Earth's senior energy campaigner.

"Unless our failing energy system is urgently overhauled, cash-strapped households will continue to pay a hefty price for our fossil fuel dependency. Ministers must abandon their plans for a reckless dash for gas, take rapid steps to make our homes and businesses more energy efficient, and harness the huge power potential from the wind, waves and sun.

The Government has a legal duty to do everything practicable to end fuel poverty by 2016.  If gas prices increase as the Government projects then nine million households could be in fuel poverty by this deadline. The Energy Bill Revolution campaign is supported by over 100 major national organisations and companies across the UK (and small ones like YouGen).

The Energy Bill Revolution alliance is calling for carbon tax to be recycled back to households to make their homes super-energy efficient. This is the only permanent way to drive down household energy bills and end fuel poverty. It could also quadruple carbon emission savings from households compared to the government’s new energy efficiency policies and create up to 200,000 more jobs.

To find out more about the Energy Bill Revolution Campaign, visit www.energybillrevolution.org and click here to see the list of 100 alliance organisations.

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