Warning to millions of pre-payment energy meter customers as they could face topping up £15 every TWO days
ENERGY pre-payment customers will have to top up their meter by £15 every two days instead of weekly, it was claimed last night.
Ovo Energy boss Stephen Fitzpatrick said some of the hardest-up households will see bills quadruple due to soaring costs.
He said the energy price cap increases will hit hardest the 15%of its customers who use pre-payment meters.
In all, four million nationwide use these meters - they are typically installed because customers are in debt or need help managing their budgets.
But these customers pay more than others. The current energy price cap is £1,971 for households with a standard meter, but £46 higher at £2,017 for those on a prepayment meter.
There are fewer tariffs available as well, which means less competition and choice for customers.
And the number of people who’ve been unable to afford to top-up meters is soaring, up from 3,000 a month in February to 13,000 in July, according to Citizens Advice.
The Sun is calling for a temporary ban on moving customers onto pre-payment meters this winter.
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Ovo is backing a proposal, broadly supported across the energy industry, for the Government to freeze bills for two years with a fund which can be paid off over ten years.
One energy source said: “It would be a mega amount of money, but it’s a mega situation and takes away the sharp shock for households now.”
Philippe Commaret, managing director for customers at supplier EDF, warned Brits face a “catastrophic winter” unless ministers act now.
He called on the Government to “step up and play a key role” in the energy crisis.
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The Confederation of British Industry also said the Government had “no time to lose” and must “act decisively”.
It urged the reintroduction measures that helped firms during Covid, such as Time To Pay flexibility with HMRC and a business rates freeze.
CBI chief policy director Matthew Fell said: “Many viable businesses are under pressure and could easily tip into distress without action.
“The guiding principles for any intervention must be to act at speed, and to target help at those households and firms that need it most.”
If you are on a prepayment meter and struggling to pay for energy, it's important to speak to your supplier.
Households will get a £400 energy rebate this winter - but those on a prepayment meter need to redeem a voucher to get the free credit, rather than getting cash in the bank.
A new Ofgem report said customers on pre-payment meters can get free energy if they're running out of gas or electricity.
Your supplier should provide an emergency credit facility which you can access automatically via your meter.
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Check to see if you're eligible for a hardship grant if you're struggling - some provider are dishing out up to £1,500.
You might also be able to get help from your local council through the Household Support Fund.