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21/02/2014

Energy Firms Slammed For Hitting The Poorest Hardest

SDLP Foyle MP Mark Durkan has accused energy companies of hitting some of the poorest people in society the hardest, not least in Derry and throughout the North, for not paying their bills by direct debit.

Government figures show that those paying by cash or cheque typically pay £114 a year more than those who make an automatic payment. The Foyle MP has also welcomed the decision by First Utility to lower the fees they charge customers who do not pay by direct debit, and has called for other energy companies to follow suit.

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Mr Durkan said: "I am deeply concerned about the penalties imposed by energy companies on people who do not pay by direct debit and have raised these concerns in parliamentary motions, the House of Commons chamber and as a member of the Consumer Rights Bill committee. “It is one thing for people to understand that discounts are made available to those opting out of receiving bills by post or by any method that has overheads, but many utility companies are now charging a standard rate for those on direct debit and a penalty rate for those who pay by other means. "The ongoing parliamentary campaign against this glaring injustice is already having an impact on both companies and regulators. Indeed, I welcome First Utility’s decision to lower the amount it charges its customers who do not by direct debit to £2 per month. Prior to recent parliamentary pressure the company charged £96 per year."

(CD/MH)

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