Utilities suppliers 'should give Brits early Christmas present'

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With Christmas just around the corner, joy and good cheer are sadly in short supply in millions of household this year as many struggle to cope with the rising cost of living and the prospect of even further economic turbulence in 2009.

However, according to some, energy suppliers are in the position to deliver some good news over the festive period if they take steps to cut gas and electricity bills for the UK's most vulnerable households before the harshest of the winter weather kicks in.

Since the start of 2008, domestic gas prices have risen by 44 per cent, while electricity has risen in cost by an average of 27 per cent and, while many consumers have made notable savings by switching utilities suppliers, this has served to propel as many as five million households into the realms of fuel poverty.

That is, millions of the lowest-earning households, such as the elderly or those on benefits, now need to spend more than ten per cent of their annual income on sufficient fuel to provide them with a healthy and comfortable living environment.

And while energy firms could until recently argue that soaring wholesale energy prices left them with no alternative but to put their rates up, now this situation has reversed, National Energy Action (NEA) has called for more to be done to help the most at-risk this winter.

Maria Wardrobe, warm homes campaigner for NEA, said: "Our plea to the energy supply industry is to look at reducing the cost of fuel as soon as possible.

"We do appreciate that they buy their energy on the forward markets and it does take some time for those price reductions to kick in but our message would be to give customers an early Christmas present and to try and bring prices down before Christmas or the early part of 2009 rather than waiting until the spring which is what has been suggested at the moment."

At the same time, consumer groups and charities have stepped up their campaign to get the government to do more to help out vulnerable households when they need it the most.

For while the government has committed to eradicating the problem in England by 2010, and across the whole of the UK by 2016, some argue more needs to be done, citing the fact that Age Concern recently reported that millions of old people are preparing to live in just one room until the warm weather returns simply as they are unable to afford to heat all of their homes.

Until this happens, however, the emphasis is on the consumer to take action, whether this be by switching utilities supplier for a better price, or installing energy efficiency measures such as insulation, and then hoping that the 'big six' energy firms make cutting prices their number one New Year's resolution.

 

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