A very cold UK energy winter indeed

UK families will from today face paying spiralling energy costs as increases to electricity and gas bills are introduced.

Consumers will now have to pay almost 20% more for gas and 33% more for electricity.

The huge increase, announced last month, sparked concerns about the impact among the business community as well as householders who are already suffering from jumps in food and fuel prices.

From today Phoenix Gas customers face a 19.2% hike for domestic and small industrial and commercial customers.

The increase adds around £2.15 a week to the average household gas bill, resulting in an average customer paying £689 per year.

While NIE customers will be paying 33.3% more. This follows an earlier increase in gas prices of 28% four months ago.

Last month Phoenix Gas said large increases in wholesale gas costs left them with “no alternative” but to review prices.

However, when asked if they would consider introducing a cap on tarrifs, NIE Energy said it “does not currently offer fixed or capped electricity prices” like other UK energy companies.

It said it is “a regulated business operating under a price control, determined by the regulator, who acts on behalf of all consumers in the UK”.

Kerstie Forsyth from NIE Energy said: “We are concerned about the impact of this increase on our customers, particularly those on lower incomes.

“We can’t control world fuel prices, which have led to this increase, but what we can do is offer discounted electricity.”

He said: “Our customers can be assured that we are committed to delivering gas at the lowest possible price both now and into the future.

“If, as we hope, worldwide energy prices fall, Phoenix will reduce its prices accordingly.”

Michael Hughes, chief executive of the Rural Community Network, representing people in rural areas on issues relating to poverty and disadvantage, said many will struggle to pay high energy bills this winter.

“Statistically there is more unfit housing in rural areas than in urban,” he said. “Those are the houses that are harder to heat, the older house that the person has lived nearly all their lives and wouldn’t want to move.”

However he said that the current situation will prove a financially tough time for most people across the country.

“This is not the case for getting into a debate about people in urban and rural areas and who is poorer. There are disadvantaged in all areas, but this is also affecting people throughout the country who would normally be comfortably off.”

On Monday the Assembly backed plans for the Executive to spearhead an action plan to counter the effects of spiralling energy bills.

But Mr Hughes said: “The Executive needs to get working again urgently to deal with these issues and help those who have to choose between food or heat this winter.”

Source - The belfast telegraph