Parkway Green and Willow Park call for fair energy prices from Wythenshawe residents

Published by karend for Willowpark Housing Trust in Housing and also in Communities, Local Government

Parkway Green and Willow Park Housing Trusts have joined forces with their local MP to back a campaign which aims to stop energy firms overcharging their poorest customers.

Nigel Wilson Chief Executive of Parkway Green and Joe Doherty, Chief Executive of Willow Park are working with MP Paul Goggins to raise the issue of prepayment tariffs directly with Energy Minister, Malcolm Wicks.

Prepayment meter customers can pay up to £300 more than households who can access the best deals online, despite being among the energy companies poorest customers.

They can also pay up to £90 more for their gas and electricity than quarterly billed customers.

The Government acknowledged the plight of Britains five million prepayment meter customers in the Budget when he called on energy suppliers to give them a fairer deal.

But the firms have repeatedly ignored warnings from ministers to lower their prepayment charges prompting the two Wythenshawe based Housing Trusts to approach Paul Goggins MP to press the government into taking action.

Hundreds of other housing associations across the country have also written to their local MPs during Energy Action Week (1st- 5th of September) in an attempt to turn the heat up on the suppliers.

The nationwide campaign has been organised by the National Housing Federation, the trade body for housing associations in England.

Research carried out by the Federation last month found 14% of gas pre-payment meter customers and 9% of electricity pre-payment meters, had self disconnected over the last year because they could not afford to top up their meter.

Nigel Wilson, Chief Executive of Parkway Green said, People who use pre-payment meters often have to pay more than other consumers for their electricity and gas and this is simply not fair. Our latest status survey highlighted that 32% of tenants that took part had prepayment meters installed in their homes. Parkway Green takes the welfare of its tenants very seriously and by highlighting this issue we can save them money and make their lives more comfortable.

Joe Doherty, Chief Executive of Willow Park also commented, With energy prices increasing for the second time this year, we are pleased Paul Goggins MP is raising this issue with the Energy Minister Malcolm Wicks [section deleted] as pre-payment meter customers can least afford to pay the most to heat and light their homes.

Both Trusts are working with the not-for-profit company, EBICO, who can offer residents competitive charges for gas and electricity. Sarah Maguire, Financial Inclusion Manager for both Willow Park and Parkway Green, said, Our residents should not have to pay a premium to use a pre-payment meter. EBICO do not penalize customers who pre-pay for their energy unlike most other utility companies who keep the best deals for direct debit customers.

David Orr, chief executive of the National Housing Federation, said:
"We've already had warm words from the Government on ending the pre-payment meter premium. What we need now is firm action - and that means bringing prepayment tariffs into line with standard credit bills. If Government proposes anything less than that, it will be failing millions of low income energy customers."

Paul Goggins said: The Government recognises that there is a problem for prepayment meter customers and I will be speaking to Ministers to see how we can get energy suppliers to deliver a fairer deal for people locally, especially at a time when fuel bills have risen so rapidly.

I am glad to be working with our local housing trusts on this issue in order to do something positive for some of the poorest people who live in the area. What we need is a Wythenshawe-wide approach to the problem to ensure something gets done for those who need assistance most with their energy bills.