The price of wholesale energy went up due to the price of retail oil, so when the price of retail oil went down the price of wholesale energy should follow it, right? Wrong! Energy companies are staying very stubborn as they refuse to pass on their price reductions they enjoyably welcomed.
The UK have been hit badly this year on two occasions when the price of oil went up, energy rates hit all time highs and many people are struggling to stay warm.
The price of oil has plummeted to a third of what it once was six months ago.
Energy companies argue the fact that they do not pass price increases or decreases on straight away as they buy their fuel in advance so the government have urged them to do so as soon as possible.
There is also steps to reduce unfair charging if energy; people who live in certain areas may only be able to have their electricity via a pre pay meter. These pre pay meters are notoriously known for being over priced and the government are looking to stamp down on these high prices.
Many more people are falling into fuel poverty category due to the increases.
Gas prices are expected to be noticeable from the New Year, six months on from when they were at their highest. This is seen as too little too late, many people are set to struggle this winter already due to the high prices. In some cases, homes are deciding whether to eat or stay warm.
Compare gas and electricity prices in the New Year to make the most of the gas and electricity reductions, you are entitled to them.
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