Gas and electricity bills could rise by £140 before winter, Aug 10, 2013 11:52:53 GMT
Post by Focus on Aug 10, 2013 11:52:53 GMT
Energy bills could soar by up to 10 per cent in the next couple of months, households have been warned.
The announcement came in the same week it was revealed Britain's big six energy companies have enjoyed a £3.3 billion windfall in profits since the election.
Price comparison website energyhelpline.com has warned energy companies could be looking at increasing rates between five and 10 per cent before the winter months, which means the average household bill could rise by up to £142.
Gas and electricity bills could rise by 10 per cent before winter, households warned, despite energy companies enjoying £3.3 billion profits since last election (file picture)
The website's director Mark Todd said: 'There are clear indications that energy price rises are close.
'I would not be surprised if they are announced within the next two months.
In fact you could describe the energy market as a volcano about to erupt.
'The lava may soon descend on consumers across the country wiping out their household budgets.'
The Daily Express has reported the news comes after British Gas warned increases were 'inevitable' and nPower said it was 'indisputable' that energy costs were rising.
Mr Todd said: 'We know from experience, when one supplier announces price rises, others follow and in the last three years these have come in the summer and autumn.
'It may be mere coincidence, but there are distinct advantages of introducing a price rise before the cold weather hits as the increased rates kick in as gas and electricity usage rises.'
On Friday the Daily Mail reported how Britain’s big six energy companies have enjoyed a £3.3billion windfall in profits since the election - while consumers’ bills have soared by £300 a year.
Labour said the figures show that David Cameron has not done enough to crack down on profiteering by gas and electric firms.
Since 2009, Britain’s Big Six energy companies (British Gas, E.ON, EDF, npower, Scottish Power and SSE) have been required to report to regulator Ofgem on their annual profits for generating and selling power.
Between them, they supply 98 per cent of households in Britain.
Price comparison website energyhelpline.com has warned energy companies could be looking at increasing rates between five and 10 per cent before the winter months
Labour’s new research shows that the total profits (earnings before interest and taxation) of the Big Six energy companies increased from £2.158 billion in 2009 to £2.219 billion in 2010, £3.867 billion in 2011, and £3.737 billion in 2012.
This represents a total windfall in profits of over £3.3 billion since 2010.
According to Ofgem’s latest Electricity and Gas Supply Market Indicators, the typical domestic dual fuel bill now stands at £1,420 a year, compared to £1,105 in May 2010 when David Cameron became Prime Minister.
But Angela Knight, chief executive of Energy UK, said: ‘This is a disappointing and inaccurate bashing of an industry which brings heat and light to 27 million homes and business, pays billions each year to the Exchequer and creates employment for over 600,000 people.
‘If a company is to stay in business it has to make a profit. And the more a company has to invest then it has to make more profit to do so.'
HOW MANY LIVES WILL BE LOST TRYING TO KEEP WARM THIS WINTER CAMERON AND JUST WHEN ARE YOU PLANNING TO PUT A STOP TO THESE GREEDY B..TARDS??? - Fx