Government’s energy price cap bill is “good news for consumers”, says Citizens Advice

Citizens Advice has responded to the introduction of the Domestic Gas and Electricity (Tariff Cap) Bill to Parliament. This bill will impose a temporary total cap on the cost of all default tariffs.

Gillian Guy, Chief Executive of Citizens Advice, said:

“This bill is good news for consumers and is a significant step towards an energy market that works for everyone.

“Millions of loyal energy customers have been ripped off by their suppliers for too long. This bill should go some way to ending the unacceptable overcharging of loyal customers, and will cut prices for 12 million households currently stuck on poor value default tariffs.

“It’s essential that protections from overcharging remain in place for vulnerable energy customers after the cap is lifted. We look forward to working with the Government to ensure that consumers in vulnerable situations are protected in the long term.

“But it’s not just energy companies who are taking loyal customers for granted. The Government should now turn its attention to addressing the loyalty penalty in other essential services, including home insurance, mobile phones and broadband.”

Notes to editors

1. 12 million figure is based on Ofgem estimates of the number of households on Standard Variable Tariffs, excluding households eligible for the safeguard tariff.
2. Citizens Advice has a statutory role as the consumer advocate for energy consumers, to represent consumers across the energy industry.
3. The Citizens Advice service comprises a network of local Citizens Advice, all of which are independent charities, the Citizens Advice consumer service and national charity Citizens Advice. Together we help people resolve their money, legal and other problems by providing information and advice and by influencing policymakers. For more see the Citizens Advice website.
4. The advice provided by the Citizens Advice service is free, independent, confidential and impartial, and available to everyone regardless of race, gender, disability, sexual orientation, religion, age or nationality.
5. To get advice online or find your local Citizens Advice in England and Wales, visit citizensadvice.org.uk
6. You can get consumer advice from the Citizens Advice consumer service on 03454 04 05 06 or 03454 04 05 05 for Welsh language speakers.
7. Local Citizens Advice in England and Wales advised 2.5 million clients on 6.2 million problems in 2014/15. For full service statistics see our publication Advice trends.
8. Citizens Advice service staff are supported by more than 21,000 trained volunteers, working at over 2,500 service outlets across England and Wales.