British Gas fuel price hike: David Cameron faces backlash after advising customers to change supplier

Poverty groups critical as PM tells public to switch suppliers after 9.2 per cent price rise

Personal Finance Editor

Fuel poverty campaigners have hit out at David Cameron after he reacted to a 9.2 per cent price rise from British Gas by telling people simply to switch to a different supplier.

Last week Scottish and Southern Electricity (SSE) announced an 8.2 per cent price increase, and with npower expected to reveal an even larger rise next week critics pointed out that consumers would be moving from one high-charging supplier to another.

British Gas is to raise its electricity prices by 10.4 per cent and its gas prices by 8.4 per cent from 23 November, meaning that bills for almost eight million customers will jump by £125 a year to an average of more than £1,400. The company said it “understood the frustration” of consumers, and blamed a range of external factors.

Ian Peters, managing director of British Gas Residential Energy, said: “What’s pushing up energy prices at the moment are costs that are not all directly under our control, such as the global price of energy, charges that we have to pay for using the national grid that delivers energy to the home, and the cost of the Government’s social and environmental programmes.”

Mr Cameron said he was “very disappointed” with the announcement, adding: “There is something everyone can do, which is look to switch their electricity or gas bill from one supplier to another.” Ed Davey, the Liberal Democrat Energy minister echoed his words, saying that it was “very disappointing news”.

But charities and consumer groups were quick to criticise the Prime Minister, whom they accused of failing to confront the issue of the Big Six pocketing huge profits while millions of consumers are forced into fuel poverty with winter approaching.

Clare Welton of Fuel Poverty Action said: “Switching from one expensive, profiteering company to another does not provide us with a solution, when the problem is the Big Six themselves.” She called for “rapid investment in renewables to start now”.

“Until energy is not-for-profit and under the ownership of the public and communities, we will continue to be at the sharp edge of profit-hungry companies and ever-increasing global fossil fuel prices.”

Ed Matthew, director of fuel poverty campaigners Energy Bill Revolution, said: “We need a long-term solution, not sticking-plaster fixes. We call on the Government to use carbon tax to super-insulate homes. We could make half a million homes super energy-efficient every year, saving an everyday family £400.”

Labour will focus on the “cost of living” crisis in the run-up to the 2015 election, and last month Ed Miliband promised a 20-month freeze on energy bills if he wins the election. Caroline Flint, the shadow Energy and Climate Change Secretary, said consumers were “sick and tired of being left out of pocket because of David Cameron’s failure to stand up to the energy companies”.

British Gas’s increase tops the 8.2 per cent hike announced by SSE earlier this month. Of the big six, EDF, nPower, E.ON and Scottish Power are yet to reveal whether they will follow suit.

Start your day with The Independent, sign up for daily news emails
PROMOTED VIDEO
Have you tried new the Independent Digital Edition apps?
News
ebooksNow available in paperback
Arts and Entertainment
The Apprentice candidates Roisin Hogan, Solomon Akhtar, Mark Wright, Bianca Miller, Daniel Lassman
tvReview: But which contestants got the boot?
Arts and Entertainment
Jim Carrey and Jeff Daniels ride again in Dumb and Dumber To
filmReview: Dumb And Dumber To was a really stupid idea
News
people

Jo from Northern Ireland was less than impressed by Russell Brand's attempt to stage a publicity stunt

Sport
Scunthorpe goalkeeper Sam Slocombe (left) is congratulated by winning penalty taker Miguel Llera (right)
football
Life and Style
A woman walks by a pandal art installation entitled 'Mars Mission' with the figure of an astronaut during the Durga Puja festival in Calcutta, India
techHow we’ll investigate the existence of, and maybe move in with, our alien neighbours
Arts and Entertainment
Sir Ian McKellen tempts the Cookie Monster
tvSir Ian McKellen joins the Cookie Monster for a lesson on temptation
News
i100
Travel
Tourists bask in the sun beneath the skyscrapers of Dubai
travelBritish embassy uses social media campaign to issue travel advice for festive holiday-makers in UAE
Arts and Entertainment
Jennifer Saunders stars as Miss Windsor, Dennis's hysterical French teacher
filmJennifer Saunders and Kate Moss join David Walliams on set for TV adaptation of The Boy in the Dress
Life and Style
tech
Sport
Nabil Bentaleb (centre) celebrates putting Tottenham ahead
footballTottenham 4 Newcastle 0: Spurs fans dreaming of Wembley final after dominant win
Life and Style
Sebastian Siemiatkowski is the 33-year-old co-founder and CEO of Klarna, which provides a simple way for people to buy things online
tech
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs General

Recruitment Genius: National Sales Account Executive

£25000 - £30000 per annum: Recruitment Genius: This company leads the market i...

Recruitment Genius: Sales Manager - Cyber Security

£30000 - £40000 per annum: Recruitment Genius: A Sales Manager for Cyber Secur...

Ashdown Group: Service Desk Analyst - Application Support - Central London

£30000 - £35000 per annum + Benefits: Ashdown Group: Service Desk Analyst (App...

Ampersand Consulting LLP: 3rd Line Support Engineer (Windows Server, Exchange Server)

£35000 per annum + Benefits: Ampersand Consulting LLP: 3rd Line Support Engine...

Day In a Page

Jeb Bush vs Hillary Clinton: The power dynamics of the two first families

Jeb Bush vs Hillary Clinton

Karen Tumulty explores the power dynamics of the two first families
Stockholm is rivalling Silicon Valley with a hotbed of technology start-ups

Stockholm is rivalling Silicon Valley

The Swedish capital is home to two of the most popular video games in the world, as well as thousands of technology start-ups worth hundreds of millions of pounds – and it's all happened since 2009
Did Japanese workers really get their symbols mixed up and display Santa on a crucifix?

Crucified Santa: Urban myth refuses to die

The story goes that Japanese store workers created a life-size effigy of a smiling "Father Kurisumasu" attached to a facsimile of Our Lord's final instrument of torture
Jennifer Saunders and Kate Moss join David Walliams on set for TV adaptation of The Boy in the Dress

The Boy in the Dress: On set with the stars

Walliams' story about a boy who goes to school in a dress will be shown this Christmas
La Famille Bélier is being touted as this year's Amelie - so why are many in the deaf community outraged by it?

Deaf community outraged by La Famille Bélier

The new film tells the story of a deaf-mute farming family and is being touted as this year's Amelie
10 best high-end laptops

10 best high-end laptops

From lightweight and zippy devices to gaming beasts, we test the latest in top-spec portable computers
Michael Carberry: ‘After such a tough time, I’m not sure I will stay in the game’

Michael Carberry: ‘After such a tough time, I’m not sure I will stay in the game’

The batsman has grown disillusioned after England’s Ashes debacle and allegations linking him to the Pietersen affair
Susie Wolff: A driving force in battle for equality behind the wheel

Susie Wolff: A driving force in battle for equality behind the wheel

The Williams driver has had plenty of doubters, but hopes she will be judged by her ability in the cockpit
Adam Gemili interview: 'No abs Adam' plans to muscle in on Usain Bolt's turf

'No abs Adam' plans to muscle in on Usain Bolt's turf

After a year touched by tragedy, Adam Gemili wants to become the sixth Briton to run a sub-10sec 100m
Calls for a military mental health 'quality mark'

Homeless Veterans campaign

Expert calls for military mental health 'quality mark'
Racton Man: Analysis shows famous skeleton was a 6ft Bronze Age superman

Meet Racton Man

Analysis shows famous skeleton was a 6ft Bronze Age superman
Garden Bridge: St Paul’s adds to £175m project’s troubled waters

Garden Bridge

St Paul’s adds to £175m project’s troubled waters
Stuff your own Christmas mouse ornament: An evening class in taxidermy with a festive feel

Stuff your own Christmas mouse ornament

An evening class in taxidermy with a festive feel
Joint Enterprise: The legal doctrine which critics say has caused hundreds of miscarriages of justice

Joint Enterprise

The legal doctrine which critics say has caused hundreds of miscarriages of justice
Freud and Eros: Love, Lust and Longing at the Freud Museum: Objects of Desire

Freud and Eros

Love, Lust and Longing at the Freud Museum