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Assembly Member demands action on pre-paid energy meters

September 22, 2008 12:00 AM

The Welsh Liberal Democrat Spokesperson on Social Justice Peter Black is demanding swift action from the Labour Government over pre-paid energy meters.

Mr. Black has expressed his concern in the light of a recent survey carried out by the National Housing Federation (NHF) that shows the number of households in fuel poverty will have doubled since 2005 by the end of this year.

Mr. Black said:

"The conclusions of this survey are very worrying. They show that 5.5 million households across the UK will be in fuel poverty - that is spending more than 10% of their income on fuel - by 31 December. Here in Wales, that could mean a quarter of households struggling with fuel bills as a consequence of the massive price hikes made by energy companies recently. The average energy bill in 2005 was £676. By next year that is likely to have risen to £1,406.

"As ever, it will be the poorest who will be the hardest-hit, as the energy companies ratchet up the charges on pre-payment meters by as much as £70.00 per year more than for those of us who pay quarterly, and an eye-watering £560 more than those paying by direct debit. It is highly unlikely that the energy companies will act on their own to reduce their profits by curbing these excessive charges. That is why the Labour Government must step in and regulate the situation. Pre-payment charges should be capped at a reasonable level.

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