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Poorest energy customers need debt holiday, says Citizens Advice | Poorest energy customers need debt holiday, says Citizens Advice |
(about 7 hours later) | |
Ten million householders who use pre-payment energy meters should be given a debt "holiday", says the charity Citizens Advice. | Ten million householders who use pre-payment energy meters should be given a debt "holiday", says the charity Citizens Advice. |
Unlike other customers, those with pre-payment meters cannot spread their payments throughout the year. | Unlike other customers, those with pre-payment meters cannot spread their payments throughout the year. |
As a result they spend twice as much on winter gas bills as in the summer - and are therefore prone to debt. | As a result they spend twice as much on winter gas bills as in the summer - and are therefore prone to debt. |
One supplier - Scottish Power- said it had already introduced such a scheme last year. | One supplier - Scottish Power- said it had already introduced such a scheme last year. |
However Citizens Advice said all suppliers should follow suit, and allow pre-pay customers to pay off debts in the summer period - when their bills are lower. | However Citizens Advice said all suppliers should follow suit, and allow pre-pay customers to pay off debts in the summer period - when their bills are lower. |
"A debt holiday would be a Christmas bonus for pre-pay customers," said Gillian Guy, the chief executive of Citizens Advice. | "A debt holiday would be a Christmas bonus for pre-pay customers," said Gillian Guy, the chief executive of Citizens Advice. |
It might also prevent pre-payment customers being forced to turn off their central heating. | It might also prevent pre-payment customers being forced to turn off their central heating. |
"Delaying payments for debts will mean those people struggling to afford heat and light don't have to make severe cut-backs," she said. | "Delaying payments for debts will mean those people struggling to afford heat and light don't have to make severe cut-backs," she said. |
Citizens Advice said that during 2014 there had been a 66% increase in the number of people seeking online help for paying their bills. | Citizens Advice said that during 2014 there had been a 66% increase in the number of people seeking online help for paying their bills. |
An analysis of figures from the regulator, Ofgem, shows that 80% of households having payment meters installed are already in debt. | An analysis of figures from the regulator, Ofgem, shows that 80% of households having payment meters installed are already in debt. |
Do you use a pre-payment energy meter? Are you struggling to pay your bills? Send us your comments by emailing haveyoursay@bbc.co.uk. | |
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