Consumers 'confused' about energy tariffs - Gas and electricity - News - Moneyfacts


Consumers 'confused' about energy tariffs

Consumers 'confused' about energy tariffs

Category: Gas and electricity

Updated: 14/05/2009
First Published: 14/05/2009

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.
The variety of options by which consumers can pay for utilities is creating problems, an expert has noted.

According to Audrey Gallagher, head of company performance at Consumer Focus, prices can vary greatly according to how energy bills are paid and this makes it "difficult for consumers to navigate".

She noted that understanding this can be particularly complicated when attempting to carry out effective comparisons.

Ms Gallagher's comments come after Which? recommended that utility bills and tariffs be simplified, as it found that seven out of ten find the number of gas and electricity options confusing.

"Consumers want flexible products that suit their lifestyle. However, there is concern that some energy tariffs have become over-complicated, leading to consumer confusion," said Ms Gallagher, adding that concerns have also been raised over the possibility that firms are deliberately misleading customers.

Regulator Ofgem recently announced a consultation over measures that include the provision of a standard annual statement.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

British Gas freezes standard energy tariffs

British Gas has announced that it’s freezing its standard gas and electricity tariffs for the winter, ensuring that customers needn’t worry about price rises in the chilly months ahead. But is that enough to ensure households aren’t paying too much?

Living in a new home could cut fuel bills by half

Older homes will always be slightly more expensive to heat, with less insulation and sneaky draughts making these character-filled homes harder to heat efficiently. But did you know just how much more this could cost you? It could be double…

Standard energy tariffs are “fundamentally unfair”

We all know how expensive energy bills can be, particularly at this time of year when we’re all turning the thermostat up a notch. But what if you’re paying even more than you should be? If you’re on a standard tariff, that’s a very real possibility.