Lamb responds to further energy price rises

2.23.57pm GMT Tue 28th Feb 2006

Responding to Powergen's announcement today of an 24.4% rise in gas and 18.4% rise in electricity prices for customers, Norman Lamb MP, Liberal Democrat Shadow DTI Secretary, said:

"I am concerned that despite a Government pledge in 2001 to eradicate fuel poverty, the latest round of price rises will bring to total increase in the number of households living in fuel poverty since 2003 to 2 million.

The company's belief that price rises will be borne by customers reflects Powergen's position as the UK's second largest energy supplier.

The UK energy market is insufficiently liberalised to offer customers protection from price rises and must be made freely accessible to new entrants to foster greater competition.

I support Energywatch's call for greater scrutiny of the UK Market as well as that of the European energy market."