Energy companies have been accused of hitting some of the poorest people in society the hardest (not least in Derry) for not paying their bills by direct debit.
SDLP Foyle MP Mark Durkan.
Foyle SDLP Mark Durkan was hitting out after government figures show that those paying by cash or cheque typically pay £114 a year more than those who make an automatic payment.
The Foyle MP also welcomed the decision by First Utility to lower the fees they charge customers who do not pay by direct debit, and has called for other energy companies to follow suit.
Mr Durkan said: “I am deeply concerned about the penalties imposed by energy companies on people who do not pay by direct debit – and have raised these concerns in parliamentary motions, the House of Commons chamber and as a member of the Consumer Rights Bill committee.
“It is one thing for people to understand that discounts are made available to those opting out of receiving bills by post or by any method that has overheads, but many utility companies are now charging a standard rate for those on direct debit and a penalty rate for those who pay by other means.
“The ongoing parliamentary campaign against this glaring injustice is already having an impact on both companies and regulators. Indeed, I welcome First Utility’s decision to lower the amount it charges its customers who do not by direct debit to £2 per month. Prior to recent parliamentary pressure the company charged £96 per year.”
He concluded: “I would also urge other energy companies to follow suit – as this change not only sets a good example but importantly helps poorer consumers.”
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