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Pre-paid energy customers going without

1.4 million left out in the cold by high prices and inconvenience

By Luke Whitmore, 16th July 2010

Hundreds of thousands of UK householders who make use of pre-paid meters have gone without energy at some point in the last year, according to a new report.

Consumer Focus, who conducted the study, claim that many people chose not to add new payment to their meters due to a lack of funds, opting to go without in order to afford other essentials.

Chief executive Mike O'Connor expressed worries that "hundreds of thousands of vulnerable consumers were walking a tightrope between topping up their energy to stay warm or buying a decent meal".

Many choose to use the meters due to greater control over how much they spend, but the service costs more than regular billing.

Consumer Focus also criticised the perceived inconvenience of pre-pay meters leading to accidental cutoffs where customers were unable to buy credit for their meters at night or on weekends.

The group is now pressuring suppliers to make it easier and cheaper for people to pre-pay. Mr. O'Connor commented, "Paying for a service in advance shouldn't mean getting a second-class service. Energy firms could transform the experience of customers by bringing pre-payment meters into the 21st century, making it easier to top up and avoid being cut off."

The results were extrapolated from interviews with 5,726 consumers, 764 of whom have pre-payment meters in their homes. The consumer group estimates that almost 9 million people pay for their gas and electricity through such meters - and that 1.4 million of these went without power in at least one occurrence over the past year.

Half of the properties affected housed someone with a disability or illness, and two in five included children below the age of 16.

Energy companies responded with claims that they make great effort to ensure that the vulnerable are protected, with an industry body commenting that there are regulations in place to prevent people being disconnected due to a lack of finances.

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