Most of the households on prepayment meters are vulnerable or low income - those who can least afford to pay the higher costs.
Households on prepayment meters will no longer pay more for their energy than those on direct debits, the chancellor is expected to announce this week.
The"prepayment meter penalty" will end in July, saving more than four million households around £45 a year at a cost of £200m. It will be managed through changes to the government's energy price guarantee and, after this ends in April 2024, energy regulator Ofgem will be asked for ways the change can be made permanent.
Ahead of his spring budget this week, Chancellor Jeremy Hunt said:"It is clearly unfair that those on prepayment meters pay more than others.Energy suppliers have said prepayment meters cost more to manage - supplying vouchers and collecting payments, for example - blaming this for the higher prices.
But most of the households on prepayment meters are vulnerable or low income, meaning the higher tariff and inability to spread the cost across the year are hitting those who can least afford to pay.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
'Illegal' Sky TV viewers issued serious warning after UK-wide police crackdownSome 500,000 households across the UK are thought to be impacted by the recent anti-piracy crackdown.
Read more »
Merlin Dealclincher Takeover — 70% off Ineos team jersey, 55% off Look power meter pedals + De Rosa, DT Swiss and moreGrab the Ineos jersey for just £37.50 and power pedals at more than half price in our latest Merlin deals round-up! ad
Read more »
BBC viewers cancel licence fee in anger after Lineker axed from Match of the Day“Shame on them. The BBC is not, in my view, impartial anymore” 📺 BBC viewers cancel licence fee in anger after Lineker axed from Match of the Day
Read more »
South African ministers accused of 'living like rock stars' while country is in crisisSouth Africa’s ruling ministers, including its president, have been accused of “living like rock stars” complete with mansions with golf courses and luxury cars while the rest of the country is plunged into darkness in 10-hour blackouts Taz_Ali_ reports:
Read more »
'Life changing' Tourette's wrist device shows significant reduction in symptomsMore than 300,000 people in the UK have Tourette's, which causes uncontrollable movements and sounds known as tics, but new technology shows promise and could help alleviate symptoms.
Read more »