Do you ration your gas?
Despite families using less power, over the last decade, there has been a huge rise in household bills.
Brits now pay on average £410 more on their gas and electricity bills a year. That equates to a 52% rise in the cost of living even though our energy consumption is 17% less.
Which? Found that the average energy bill rose by 137% between 2002 and 2012, from £790 to £1,200 and they continue to soar.
This has angered many people because the big six energy companies have not brought the fall in the wholesale cost of energy to the consumer. Analysts have promised that there is the possibility of cutting costs by as much as £130 but firms have not acted on this. Ofgem and Competition and Markets Authority have inquired into the industry after fears that the big six are profiting heavily from this reluctance to take action.
They have no power, however to force them to sell energy at wholesale costs.
The reduction in usage by the consumer is as a direct result of better insulation and energy efficient household appliances.
But many are being very careful with their usages, rationing their electricity and gas, so their bills are still within their budget. Which? Said: ‘With such a massive rise in energy bills over the past decade, big reforms are needed to restore confidence in the energy industry and guarantee fair prices.’
Which? Executive director Richard Lloyd said: ‘At a time when rising energy prices are consumers’ number one concern, it is shocking that people are paying more despite using less.
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