Rising energy costs ‘creating debt problems’

Increased fuel bills have driven more and more people in the UK into debt.

That is the finding of uSwitch.com, which noted that prices actually decreased last year, but are still far above the level of the beginning of 2008.

Figures indicated that the third quarter of 2009 saw 13 per cent more customers having to come to some form of arrangement with their supplier over debt than in the previous three-month period.

Energy expert at the price comparison site Thomas Lyon suggested that consumers should aim to reduce their outgoings in order to compensate for the fact that annual bills are £327 higher than they were two years ago.

“Suppliers could help too,” he added. “If there is enough in their coffers to cut their prices further we would urge them to do it now so that consumers can feel the benefit this winter.”

Earlier this week, moneysupermarket.com warned that the recent cold snap could mean fuel bills for the year rise by ten per cent.

By Andy Mackay