Pensioners face Powergen price riseLatest hike comes into force today

06 September 2006

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Energy giant Powergen’s latest price rise comes into force today for thousands of its elderly customers.

The company put up electricity prices by 9.7 per cent last month while gas prices rose by 18.4 per cent more.

Those increases come into effect today for customers on Powergen’s Age Concern tariff as well as for those signed up to its EnergyOnline scheme, and for its prepayment customers.

Around 185,000 customers are on the Age Concern tariff, which is specifically designed for older people, while the EnergyOnline tariff is tailored towards customers who manage their bills over the internet.

Second rise

This latest rise follows an earlier price hike in March when Powergen - which has 8.5 million UK customers - raised the price of gas by 24.4 per cent and electricity by 18.4 per cent.

Earlier this week a coalition of consumer groups, including Energywatch and Help the Aged, warned that energy suppliers were charging poorer people more for gas and electricity.

It said that elderly people were among those suffering most and complained that customers with prepayment meters were paying up to £173 more for gas and up to £113 more for electricity in a year than those who paid quarterly.

The coalition wants the six big energy firms - British Gas, EDF Energy, Npower, Powergen, Scottish Power and Scottish and Southern Energy - to make prepaid meter tariffs the same as those for bills paid quarterly.

Which? runs its own impartial energy price comparison site - Switch with Which? - where you can check which supplier offers the best deal for your gas and electricity.