Energy giants ignore warnings to lower charges for Thames Valley's poorest |
 Energy companies have “blatantly” ignored government warnings to stop overcharging thousands of low income families in the Thames Valley area for their fuel – despite mounting pressure from ministers and charities, the National Housing Federation claimed today. British Gas, e.on , Npower and Scottish and Southern Energy are continuing to charge households with prepayment meters nearly £300 more for their gas and electricity than wealthier customers who set up online accounts, according to figures published by the consumer watchdog, Energywatch. They also pay up to £89 more than customers who pay their bills on a quarterly basis - despite paying for their fuel up front and rarely switching supplier. The big energy firms had been widely criticised for refusing to scrap their exorbitant prepayment meter tariffs, which have been blamed for plunging thousands of households in the counties into fuel poverty. Soaring fuel prices over the last 12 months have hit those on low incomes harder than any other group – forcing tens of thousands of households in the region to go without power simply because they could not afford to pay for it. In the run-up to the budget, the government had been expected to use reserve legal powers to compel the energy companies to lower their tariffs for prepayment meter customers – following a high profile campaign by the National Housing Federation, and a number of leading charities. But the companies were effectively given a “last chance” by the chancellor, warning them they would have to slash their charges and give their poorest customers a fairer deal. New figures released by Energywatch, however, reveal the energy companies have failed to take the government seriously after again refusing to lower their tariffs. Npower charged prepayment meter customers £298 more than those on their cheapest tariff – to top the rip off league table. British Gas were a close second, charging £264 more, while e.on slapped a premium of £206 for customers using prepayment meters. And Scottish and Southern Energy (SSE) charged their prepayment meter customers £171 more than those signed up to their cheapest tariffs. Although firms can incur additional expenses in maintaining prepayment meters, Scottish Power have already set down a marker for the rest of the industry by making PPMs tariffs lower than for those who pay their bills on a quarterly basis. Simon Nunn, head of south region at the Federation, said: “The chancellor called on the energy firms to give prepayment meter customers in areas like the Thames Valley a fairer deal in his budget speech. “These figures show they’ve blatantly ignored the government’s warnings and are continuing to rip off thousands of people across the city by charging them the very highest tariffs. "This situation, where those on the lowest incomes are being forced to pay their highest tariffs, cannot be allowed to continue. “The big energy companies should be compelled to equalise the tariffs they charge to prepayment meter customers with those charged to people on standard credit. Anything less is morally unacceptable.” The National Housing Federation, which represents 300 housing associations in the South East, insists additional maintenance costs for prepayment meters should be absorbed by the energy companies. |