Commenting on the letter sent by Ofgem to the UK’s large energy suppliers today (Tuesday) – asking them to explain the impact of falling wholesale prices on energy bills – TUC General Secretary Frances O’Grady said:
“The fact that lower wholesale energy prices have not led to reduced energy bills shows that the big six energy companies are taking their customers for a ride.
“The government should be standing up for consumers in the face of this naked greed. Instead, the Chancellor has shied away from taking on the energy giants and handed them tax giveaways by cutting vital green levies.
“We need to have a competition commission enquiry into the energy market to get to the bottom of why energy companies can rip-off customers so easily. Another series of stern letters from Ofgem is simply not good enough.”
NOTES TO EDITORS:
- The Ofgem letter is available at www.ofgem.gov.uk/publications-and-updates/letter-calling-large-energy-s…
- Around half of the average British household energy bill is made up of underlying market prices for electricity and gas.
- Ofgem estimates a typical home will spend £1,346 on power and gas over the next 12 months from May – a 3.1 percent year-on-year rise –- despite lower wholesale prices and a 15 per cent drop in ‘environmental and social’ costs since January.
- Follow the TUC on Twitter: @tucnews
- Congress 2014 will be held at the Arena and Convention Centre, Liverpool, from
Sunday 7 September to Wednesday 10 September. Free media passes can be obtained by visiting www.tuc.org.uk/media-credentials and completing an online form. Applications must be in by noon on Wednesday 27 August. Any received later than that will be processed in Liverpool and will cost £75.
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