Why is it that consumers pay so much more for their energy bills, if they do not pay by Direct Debit – way beyond the costs of postage?

This seems to be a great rip-off by the energy companies and particularly hits those on low incomes:

Yesterday, in the House of Commons, I asked the following to the Energy Minister:

“Many energy consumers, particularly those on low incomes, do not pay their energy bills by direct debit, but they get huge increased charges from many of the energy companies when they do pay, even when they do so on time. Will my right hon. Friend look into this and make sure that people who do not pay their energy bills by direct debit get a fair energy bill?

Greg Clark

“My right hon. Friend makes an excellent point. As I said, the poorest 10% of households spend 10% of their household expenditure on energy, whereas the richest 10% spend 3% of theirs on it. We need to look particularly at the conditions of more vulnerable consumers to ensure that they are not disadvantaged” .

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