Householders 'can't afford energy prices'
Householders 'can't afford energy prices'
National Energy Action (NEA) is a national charity that, for more than 20 years, has campaigned for policies to secure the eradication of fuel poverty. |  |
Environmentalists will challenge the government's plans to build new coal-fired power stations in Britain near the Kingsnorth site in Kent from today. |  |
Friday, 15, Aug 2008 12:00
Up to ten million households will struggle to afford another hike in energy prices, a new survey has revealed.
Over 12.5 million customers were affected by EDF Energy's and British Gas' second price increase in six months, and other suppliers are now expected to follow suit in the coming weeks.
A study from uSwitch.com has found 39 per cent of households – ten million – say they cannot afford this rise, which could take the average annual bill to £1,127.
Another four million (17 per cent) said they can only comfortably afford an extra £10 a month and only one in ten could stretch themselves to a monthly increase of up to £20.
The survey also reveals one in two households (13 million) are planning to cut down on heating as the cold weather draws in this winter, 54 per cent will become more energy efficient and four million (15 per cent) of homes will take drastic measures to reduce their energy usage by cooking fewer hot meals.
Ann Robinson, director of consumer policy at uSwitch.com, said: "Households who are concerned about their jobs, their homes and their ongoing ability to pay their bills will be left with no choice but to cut back on both heating and eating this winter.
"Soaring wholesale gas prices have made their impact on suppliers' profits and ultimately on consumer bills. The government needs to provide a strategy and regulatory environment to ensure that the lights stay on at an affordable price."