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Evening Standard
Evening Standard
World
Miriam Burrell

Energy firms warned over hiking direct debits when families making ‘huge efforts’ to cut usage

Grant Shapps has written to energy suppliers

(Picture: PA Archive)

Grant Shapps has warned energy suppliers not to increase Britons’ direct debit payments when they are making “huge efforts” to cut usage.

In a letter to energy suppliers in the UK, Mr Shapps asked them to share how they will make their systems more responsive to customers’ “positive changes”.

“I was disturbed to read media reports that some consumers are saying their direct debits are going up when they are making huge efforts to reduce their usage to save money at a time when household incomes are squeezed,” Mr Shapps wrote in the letter, posted to Twitter on Sunday.

“It is in all our interests that when consumers take sensible steps to reduce their own bills, such as reducing their boiler flow temperature or making their homes more energy efficient, that they are able to seen an impact in their bills.

“I am very keen that all suppliers find a way to make their systems more responsive to these positive changes...and have asked Ofgem to report to me on how this can be achieved.”

Mr Shapps urged companies to ensure that direct debit systems do not “overestimate charging”.

Britons have cut their gas and electricity use by more than 10 per cent since October, The Gaurdian reports.

E.ON, which has 5.6 million customers, was seeing reductions of 10 to 15 per cent against seasonal averages in recent weeks, its top boss Michael Lewis said.

Andrew Lindsay, the chief executive of stock market-listed Telecom Plus, said gas use was down about 10 per cent in recent months.

Both said unseasonably mild weather in October and November had made analysing trends more difficult.

Households will be given £400 to cover rising energy bills over the winter months under the government’s support scheme.

Chancellor Jeremy Hunt has guaranteed that typical bills will be capped at £2,500 until April.

The government’s support package is being applied to household electricity bills over six months. Households will get £66 in October and November and £67 in December, January, February and March.

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