FinanceuSwitch Price Comparisons"Poorest customers overcharged £400 by British Gas" "Poorest customers overcharged £400 by British Gas"
17/03/2008
British Gas is charging some of its poorest customers £400 a year more for their gas and electricity because they are using pre-paid meters rather than quarterly bills - according to the National Housing Federation (NHF). The NHF is now asking the general public to support their campaign to stop energy suppliers from charging pre-payment meter customers the most for their energy.
So far the campaign has succeeded in getting Npower and Powergen to drop their pre-payment meter prices, and Malcolm Wicks MP, Energy Minster, has acknowledged the plight of pre-payment meter customersand is going to ask suppliers to do more about the price difference between the different payment methods.
According to the NHF's figures, British Gas charges its prepayment meter customers £89 per year more than those who pay by standard credit, £176 more than direct debit customers, and just over £401 more than those who have set up a direct debit account online.
The average yearly bill for a British Gas prepayment meter customer for both gas and electricity at the moment is at current prices just over £1,143, but if you pay using an online direct debit account would pay just £742 over the next 12 months.
The second worst offender is Npower, who charge prepayment meter customers £226 more than online direct debit customers, then EDF, which charges £218 more.
NHF Chief Executive David Orr, said: "British Gas should be ashamed of itself, dip into its 700m profits and offer a better deal to customers with prepayment meters." He is urging the public to contact their local MP and ask him/her to write to Malcolm Wicks MP, Energy Minister, requesting him to use the forthcoming Energy Bill to end the pre-payment meter premium.
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