Energy suppliers going bust could see consumers pay almost £30 more a month, according to energy watchdog Citizens Advice
Energy suppliers going bust ...
Subscribe to Newsletter

Energy suppliers going bust could see consumers pay almost £30 more a month, according to energy watchdog Citizens Advice

30 September 2021
2902
2 min.
2
Energy suppliers going bust could see consumers pay almost £30 more a month, according to energy watchdog Citizens Advice

Consumers who are moved to a new energy firm after their supplier goes out of business stand to pay almost £30 a month more, Citizens Advice has found.

The energy watchdog warns people will face “desperate choices” this winter after finding that customers of the five largest failed suppliers are set to pay £6.70 more a week when moved on to the default tariffs of a replacement firm.

The energy price cap is due to rise by £139 for people on default tariffs and £153 for people on pre-payment meters on October 1.

As of Tuesday September 28, more than 1.5 million people had been affected by energy supplier failures.

Citizens Advice said it was particularly concerned about those on the lowest incomes who could be hit by rising energy costs, a planned cut of £20 a week to their Universal Credit and a higher cost of living due to inflation.

Those who lose their Warm Home Discount if it is not carried over when they are moved to a new supplier could be £17.40 a week worse off, it warns.

People in this situation who are also on Universal Credit stand to lose £37.40 a week if the planned cut is implemented.

Frontline advisers at the charity said they feared many would be left facing “desperate choices” due to fuel poverty this winter, including turning off their fridges and freezers, relying on hot water bottles for warmth and requesting support to buy extra duvets and blankets.

A survey by the advisory service found 35% of people are worried they will struggle to pay their energy bills this winter, rising to 45% of those earning less than £21,000 per year and 44% of households with children.

Citizens Advice is calling on the Government to reverse its planned cut to Universal Credit and introduce emergency winter grants for those on the lowest incomes.

Chief executive Clare Moriarty said: “Overnight price hikes will be a shock for more than a million households whose energy companies have gone bust.

“We’re particularly worried about those who’ll face desperate choices this winter because of the cumulative impact of soaring bills, the planned cut to Universal Credit and inflation.

“The Government and Ofgem must guarantee that the Warm Home Discount will be continued for people moving to new energy suppliers. People on the lowest incomes should be able to access emergency winter grants so they can stay warm in the cold months ahead.”

Source: https://www.gbnews.uk/news/energy-crisis-customers-face-30-a-month-price-hike-when-suppliers-go-bust/134287 

Persons1 and Companies1 in the news

Chief executive of Citizens Advice
1 place
Section:

ENGLAND NEWS


News GlobalEng.biz -this is the latest and most up-to-date information about the resonant events that have occurred in the region. The task of the resource's news feed is to convey to readers information about important events in business, politics, economics, healthcare, culture and other spheres of life in England with maximum accuracy and objectivity.
News GlobalEng.biz - this is coverage of the economic processes taking place in England, the latest news of public life, incidents and an overview of political events. English news is information about the activities of small and medium-sized businesses, the work of housing and communal services, the implementation of significant projects. The site's journalists describe not only the life of the region, but also talk about the current state of the English economy. Everything you need to know about innovations in the field of industry and agriculture, economy and government is collected in the "News" section on GlobalEng.biz.
News of England promptly informs the reader, shows the real picture and opens up topical topics. Communication with government structures and business gives us the opportunity to provide our readers with reliable, information-rich material.
The main page of the portal contains the key news of England!
Alena Potapova

Development Director
Population
8169330808
Died this year
53083106
Born this year
130593836