Jump directly to the content
Revealed
the big fix

Big Six energy giants fail to pass on huge drops in wholesale costs to struggling families

The amount the Big Six pay for power for a typical family per year has fallen from £451 to £316

The mark-up on suppliers’ standard tariffs is as much as £272

BIG Six energy giants have failed to pass on massive falls in wholesale costs to families, a leaked report shows.

The Sun has already been able to show that the mark-up on suppliers’ standard tariffs is as much as £272, based on secret industry papers unearthed by The Sun.

The mark-up on suppliers’ standard tariffs is as much as £272
3
The mark-up on suppliers’ standard tariffs is as much as £272Credit: Alamy

Fresh analysis shows the amount the Big Six pay for power for a typical family per year has fallen from £451 to £316 since last year - down £135 or 30 per cent.

But typically they have only cut the standard variable tariffs - which seven in ten families are on - by just £31, or 2.8 per cent.

Will Hodson of consumer collective said: “Once again the truth about the Big Six comes out not because they are willing to be honest with the public but because of a leaked report.

But typically they have only cut the standard variable tariffs - which seven in ten families are on - by just £31
3
But typically they have only cut the standard variable tariffs - which seven in ten families are on - by just £31Credit: Getty Images

“First their real gigantic profits on their customers on their standard deal are revealed. Now how little they have passed on to customers in savings given the fall in wholesale prices is revealed.

“When wholesale prices drop the Big Six take forever to pass on just a fraction of the savings. As wholesale prices go up in the coming months you can be sure the Big Six will be moving as fast as they can to put prices up as much as they possibly can.”

RELATED STORIES

'Idiot' driver filmed using laptop while doing 50mph on Britain's busiest motorway 'put everyone in danger'
Lapseat driver

'Idiot' driver filmed using laptop while doing 50mph on Britain's busiest motorway 'put everyone in danger'

Barack Obama and Russia's Vladimir Putin share VERY cold handshake and refuse to look at each other after discussing ISIS threat
WELL VLAD'S AWKWARD

Barack Obama and Russia's Vladimir Putin share VERY cold handshake and refuse to look at each other after discussing ISIS threat

Dad lives in his work car park so he can spend £130k a year training his son, 8, to be a racing driver
life in the fast lane

Dad lives in his work car park so he can spend £130k a year training his son, 8, to be a racing driver

German Chancellor Angela Merkel announces she WILL run for a fourth term
RETURN OF THE MERK?

German Chancellor Angela Merkel announces she WILL run for a fourth term

The bombshell amounts are based on figures in a secret report produced for Energy UK by accountants PWC - which the trade body tried to keep secret.

Bizarrely, Energy UK boss Lawrence Slade - rather than face up to public concern over huge profits - lied about the report in a bid to divert attention.

He claimed it was a draft - which it wasn’t. He also claimed the wholesale costs were not accurate - even though Energy UK used the same figures in a later, separate report.

Energy UK boss Lawrence Slade - rather than face up to public concern over huge profits - lied about the report in a bid to divert attention
3
Energy UK boss Lawrence Slade - rather than face up to public concern over huge profits - lied about the report in a bid to divert attention

The report shows that while wholesale costs fell by £135, the other three costs rose slightly. Operational costs, such as wages and call centres, rose £1 to £158, green levies by £31 to £111 and costs for delivering power by £10 to £259.

The rise of £42 is overshadowed by the fall in wholesale costs.

Topics
YOU MIGHT LIKE
RECOMMENDED FOR YOU
MORE FOR YOU