Credit, collections & insolvency news
New research by the Resolution Foundation has highlighted the challenges faced by the 4 million UK households who pay for energy via pre-payment meters (PPMs). High prices and the concentration of energy use in the winter months mean that, on average, households with a PPM will need to spend more than 30 per cent of…
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Energy regulator Ofgem has laid out plans to make firms offer tariffs without standing charges from next winter. The new plans also outline better support for households struggling with debt. The regulator will consult on introducing an option under the price cap to include zero standing charge tariffs alongside existing tariffs, offering consumers the ability to choose…
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E.ON Next has paid £14.5 million after failing to provide final bills and refund customer credit balances to prepayment meter customers. An investigation by the energy regulator, Ofgem, found almost 250,000 prepayment meter customer accounts were affected between February 2021 and September 2023 due to an error within its billing system, which E.ON Next self-reported…
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With energy bills are set to rise again, by 10%, from today (Tuesday 1st October), a new survey by fuel poverty charity National Energy Action and YouGov has found almost half (46%) of adults say they are likely to ration their energy use this winter – using less than they should for maintaining comfort and wellbeing. A…
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Energy regulator Ofgem has announced that, from the 1st October 2024, the price cap will increase by £149 to £1,717, an increase of 10% from the previous price cap which was £1,568. The price cap which sets a maximum rate per unit and standing charge that can be billed to customers for their energy use,…
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Cornwall Insights has forecasted that the October-December energy cap will drop to £1,723 a year for a typical dual-fuel consumer, a reduction of nearly £40 annually compared with our forecast in May. Cornwall Insights says that despite the drop in the prediction, this cap level would still represent a 10% increase from the £1,568 a year…
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Nearly 11 million households could risk overpaying on their energy bills by a collective £30 million if they delay submitting a meter reading before 1st July, research by Uswitch.com, the comparison and switching service, has found. To benefit fully from the new cheaper price cap which comes into effect in July, households on standard variable…
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Summer energy bills will fall to their lowest level since the beginning of 2022 as a result of the latest Ofgem price cap for July to September 2024 falling to £1,568. But the legacy of a 60 per cent rise in average energy bills in 2024 compared with three years ago still casts a long…
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Despite over half of British homes now having a smart meter, new research from Citizens Advice suggests millions of households are being let down by meter problems suppliers are failing to fix. The charity says new rules are needed to ensure energy suppliers identify and fix problems as quickly as possible. Citizens Advice is particularly…
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Higher interest rates could add £29 billion to household energy bills, according to new research published today (Monday) by the Resolution Foundation. The research considers how to fund the major power sector upgrade needed to cope with rising demand for electricity in a decarbonising economy. By 2040, Britain’s homes will consume 45 per cent more electricity…
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Resolution Foundation analysis of Ofgem’s Price Cap for April-June 2024, and Cornwall Insight forecasts for the price cap in the second half of the year, show that household energy bills are on track to fall by 24 per cent (or £545) in real terms in 2024, compared to last year. The latest Ofgem price cap…
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Energy regulator Ofgem has announced a significant reduction of the energy price cap for the second quarter of 2024. The price cap changes mean that the average annual energy bill will fall £238 a year from April, this is its lowest level for two years. The change means that the maximum rate per unit that…
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Latest forecast by Cornwall Insight has predicted that energy bills will fall in April by nearly £300 a year for a household using a typical amount of gas and electricity. The forecast for the April – June Q2 2024 forecasts that a typical dual fuel household will be £1,635 per annum. This is a fall…
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