"Our central view remains that inflation will fall back this year as the rises in domestic gas and electricity prices last year drop out of the annual comparison, and the recent cuts in prices feed through to household bills."
RWE AG's UK energy subsidiary npower (2006 profits 17% to 377 mln stg) has lifted UK electricity and gas prices, taking effect from tomorrow - in a widely telegraphed move.
The UK's fourth-largest energy provider, and sponsor of the UK cricket team, has announced an "average" rise of 17.2 pct for gas prices and an average rise of 12.7 pct for electricity.
In a novel pricing move, npower have announced regional price variations (allegedly relating to transport costs - which is bollocks) this will mean rises ranging from 15% to almost 24% for some npower customers.
Jenny Saunders, Chief executive of the leading fuel poverty charity National Energy Action (NEA) pointed out that, “Even in mild winters around 24,000 people, mostly pensioners, die of cold related illnesses - a shameful track record in a modern country such as ours.” Contact them for advice for yourself or a relative on the hotline : 08457 277 200 or visit their website
Should you seek an explanation from Lord King and the BOE how they, and their serried ranks of Oxbridge double firsts in PPE, economists, econometricians, money jugglers, and forecasters so misread the global and (more importantly) the EU energy market you might contact them at email@example.com or even enquiries firstname.lastname@example.org Lord Patel has ... and he will keep you informed of the consequences.
FOOTNOTE - After a public vote in Ensdorf, Saarland, Germany, with a turnout of 70%, a large majority (70 percent) of the voters rejected RWE's plans for a new hard-coal-fired state-of-the-art and clean power plant with a total investment volume of €2.2 Bn in November.