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Energy companies urged to cut energy bills

Consumers could be owed money from energy bills

An energy bill and money Energy bills could fall by around £23 if energy companies pass on savings to consumers

Consumers could be owed money from their energy bills after the government admitted cuts to green levies saved energy companies more than expected.

In December, the government announced plans to cut green levies on energy bills, reducing what the energy companies need to spend on energy efficient measures.

As a result, the six major energy suppliers – Npower, British Gas, SSE, Scottish Power, EDF Energy and Eon – said they would reduce energy bills, or not raise bills as much as they would have.

However, the government has now announced that the companies may now make greater savings than originally estimated in December. The government has invited the energy companies to ensure that consumers benefit from this windfall and ‘set out publicly how they propose to do this’ 

If you’re worried about your energy bills you can compare gas and electricity prices using our free comparison tool, Which? Switch.

Energy bill savings

After the initial announcement in December, the major energy companies said they would reduce bills by around £30 to £35. But according to reported analysis from the Association for the Conservation of Energy and the Insulated Render and Cladding Association, the savings energy companies will make could equal a further £10 to £23 reduction in energy bills.

Richard Lloyd, Which? executive director said: ‘We need to see more transparency from the energy companies on the impact of energy efficiency schemes on consumers’ bills.

‘The Government’s decision to cut the cost of the Energy Company Obligation is welcome, but more needs to be done to ensure energy suppliers pass on the full benefit of this cost reduction to their customers.’

You can see our guide to energy price rises to find out the latest energy price changes, as we update it with the latest tariff news. 

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