How can the gas and electricity companies justify these huge price rises in the costs passed onto us?

Question

Is this what happens because they are now private companies?

Answer 1

Buy more jumpers and spend less than you did before the price increase. Hit the fatcat pockets

Answer 2

Easy.  Demand for energy is at an all time high.  If you had product everyone wanted, you would increase the price until people quit buying it and then back off to a level where people will.  Energy prices keep going up, and most keep using more and more.  Hence, increased prices.

Answer 3

I don't know about anywhere else, but in this area you don't have a choice where you get your service.  There is one company that supplies the entire area, so they have a monopoly.  Without any competition they can charge whatever they want, no matter how ridiculous it is--and they do.  You either pay the exorbitant fees or you do without.  Lovely, isn't it?

Answer 4

It's ridiculous - and they're complaining of not making enough profit. They also say prices are going to rise 10% by late Summer, with a further rise of 15% in January 2009.... that equals a 26.5% rise! Where on Earth does the government get these figures of 2.5% or 3% inflation from?

See link:

http://news.bbc.co.uk/1/hi/business/7395...

Answer 5

yes

my gas bill has gone from £38 a month to £99!!!!

if you add the electric (which has also gone up despite me changing all the bulbs to low energy and generally turnin g into my dad ie constantly patrolling the house in search of left-on lights) i am now paying just under £150 a month for fuel.

there is no way costs have gone up that much.

i hope the fat cats choke on their champagne and caviar - not that they care a fig for the likes of us.

Answer 6

I know what you mean, but did you know that British Gas are saying that they are having to increase prices again.

Deep joy!!