Greed of the Big Six must now be curbed

COMPETITION was supposed to generate savings as energy firms battled for custom. Instead, the vast majority of us still get our gas and electricity from the ‘Big Six’ firms who are notoriously quick to increase prices when their costs rise but who drag their heels to cut bills when overheads fall.

Customer inertia is a big problem. Despite the rise of comparison websites and firms specialising in helping the public switch suppliers, too few of us vote with our feet.

The same phenomenon is apparent in the insurance industry. And like insurers, utility firms take full advantage.

There has been talk of caps on power bills – Theresa May promised a scheme that would have pegged back bills for an estimated 17million households.

Regulation of that sort is a blunt instrument that risks skewing the market.

Thanks in no small part to a Daily Mail campaign, insurance companies are now required to state clearly what the previous year’s premium was.

It has been a wake-up call for many firms and confronted millions of customers with the reality of companies jacking prices just because they can.

Isn’t it high time utility firms were also forced to make clear by how much their prices have risen? And shouldn’t they also be compelled to ensure customers – especially those who have been loyal – are on the cheapest tariffs?

When families are parting with an average £853 per year because of the grip of the Big Six, politicians must act as the companies themselves clearly will not.