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Energy giants tax on poor

Big Six energy firms charging an average of £312 a year on pre-pay energy meters

Around four million households must fork out for their energy up front

FAMILIES forced to use pre-pay energy meters are charged an average £312 a year more than those on the top deals.

Around four million households, typically low income or those in debt, must fork out for their energy up front.

 Those on low income or in debt typically have to fork out for energy up front
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Those on low income or in debt typically have to fork out for energy up frontCredit: Alamy

They pay an average of £1,137 with the Big Six firms. Some are charged as much as £1,268 by other suppliers.

But the best tariffs available to those billed for use stand at around £825 for the year.

Will Hodson, of consumer collective , said: “It’s a disgrace pre-payment customers pay so much.”

 Will Hodson of TheBigDeal.com says the payment is a 'disgrace'
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Will Hodson of TheBigDeal.com says the payment is a 'disgrace'

The meters are usually installed to prevent customers having their energy cut off.
Many pre-payment customers are among the five million people who are listed as being in debt to their energy supplier.

And around 500,000 were “forced” to have pre-payment meters installed over the past six years, figures show.

A study by Citizens Advice also found they pay an average of 22 per cent more for energy than ordinary customers.

SWITCH AND CUT COSTS BY £238

THE Sun is giving readers a chance to cut their energy bills by a fifth and save £238 a year.

Our dual-fuel tariff, launched with The Big Deal and supplied by iSupply Energy, is one of the cheapest available.

The deal, fixed for 33 months, will cost just £825 per year on average.

A 12-month £999 deal is available for pre-payment customers — meaning everyone can save.

- The Big Deal receives a commission of £40 for each Sun reader who switches both electricity and gas. The Sun makes no money from the deal.

The Competition and Markets Authority, which investigated the energy industry, said: “Consumers on pre-payment meters get the raw end of the deal.

“They have much less choice than other customers because of the meters they use.”
The regulator has called for a cap on pre-payment costs but it will not come into force until April next year.

No exact amount has been set but it is thought to cut just £75 off a typical pre-payment meter bill.

It also emerged yesterday that some face a postcode lottery over their energy bills.

Offers from suppliers mean that customers in some towns are paying up to £80 more than others elsewhere to be on the same tariff.

HOW TO GET DEAL

GO to or call 0203 870 2039 to start saving.

Phone lines are open from 9am to 6pm, Monday to Friday.

Hurry — it’s a limited offer available until Monday 21 November.

Answer a few simple questions to learn how much lower bills will be.

Terms and conditions and more information at or call 0203 870 2039

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