Theresa May under pressure to introduce a regulated energy price cap as three suppliers back the move
Ovo, Octopus and Utility Warehouse broke cover and said they supported proposals to limit the price difference between standard and online tariffs
CALLS for a regulated energy price cap were tonight backed by three suppliers – piling intense pressure on Theresa May to act.
On the eve of a Commons debate on Thursday, the three – Ovo, Octopus and Utility Warehouse - broke cover and said they supported proposals to limit the price difference between standard and online tariffs.
Ovo – which has 700,000 household customers – said the move would transform competition in the UK.
Former Cabinet Minister John Penrose wants the difference set at just 6 per cent to stop millions being “ripped off” by the Big Six.
Speaking last night he said he was “delighted” industry was reacting positively.
And he said: “I want to pay tribute to The Sun and its readers for the excellent Power to the People campaign. It’s been instrumental in highlighting to Ministers the problem of spiralling energy costs.”
The Sun in October revealed some customers at the Big Six were paying as much as £389 more per year than the same supplier’s cheapest deals.
Business Secretary Greg Clark said the Government had a “duty to act” and that it was wrong customers were paying more because of their loyalty to one brand.
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Ovo chief Stephen Fitzpatrick said: “The time has come for the Government to step in and take bold action to protect consumers’ interests.
“Almost 20 years after privatisation it’s clear that the energy market is failing the customers it should serve.”
Thursday's Commons debate will challenge ministers to respond to concerns of more than 50 MPs about the actions of the Big Six and the problems in Britain’s broken energy market.
Last month we revealed ministers were considering the “nuclear option” of introducing a nationwide regulated standard variable tariff for two years.
The move was proposed by Martin Cave, an executive at the Competition and Markets Authority last year.