Four days ahead of the Autumn Statement, the Government has announced proposals it says will save the average British household £50 on their energy bills.
Today the Government confirmed it would take action by cutting back on the levies we all pay for on our bills. Thanks to your support for our campaign, the message seems to have got through – we need to see our sky rocketing bills brought under control.
The Warm Home Discount will still be available for vulnerable households, but this will now be paid for by the Government and not through your energy bills. The cost of the Energy Company Obligation (ECO), an insulation scheme, will also be reduced. These are both changes we've been calling for as part of our 'Cut them down, George' campaign.
It's about time the Government started getting the cost of energy under control and this is a welcome step in the right direction for everyone who's struggling with the increased cost of living.
Our executive director Richard Lloyd said:
'It is right to refocus the Energy Company Obligation so that it gives greater priority to those most in need of help with lower cost measures such as loft and cavity wall insulation. But in return for more time to get this right, the suppliers must now commit to greater transparency and to getting their costs down, fast.'
All of the Big Six energy suppliers have confirmed that they'll pass these savings on to their customers. British Gas, for example, will cut its gas and electricity prices by 3.2% in January 2014 for an average dual fuel saving of £53. Others have said they won't increase prices before 2015, provided wholesale costs don't increase.
Richard Lloyd added:
'We must also see a comprehensive review of the Government's energy efficiency policies in the longer term and wider reform of the market to make it truly competitive.'
We'll continue to work on cutting energy costs and ensure the Government and energy companies keep to their commitments.