Charity’s warning over pre-pay

MORE than 450,000 people could be forced on to pre-payment meters by the end of the year for falling into debt, a charity warns.

The number of people going to Citizens Advice after being made to change meters has shot up 138% in two years, it said.

Pay-as-you-go households will be billed £258 on average more this winter than those on direct debit. Dame Clare Moriarty, Citizens Advice boss, said: “Forcibly moving people in debt on to prepayment meters is disconnection by the back door.”

Meanwhile, a retail boss has warned that the plunging pound looks set to create a second cost of living crisis. Simon Wolfson, a Tory peer and boss of fashion giant Next said most clothing and homeware factories priced goods in dollars, meaning costs were likely to continue rising next year.

He added: “It looks like we may be set to have two cost of living crises: this year, a supply side-led squeeze; next year, a currency led price hike as devaluation takes effect.”