And all the while, British Gas is raking in £1,000 of profit every minute of the day. The truth is, the only people who are cosy this winter are the companies who send us our ever-rising bills.

Energy prices have wiped out the benefit of the Winter Fuel Payment, leaving pensioners shivering. In 2003, the Winter Fuel Payment met 50 per cent of the average pensioner's fuel bill. Rising fuel prices means that now it helps with just 27 per cent of the cost.

It's likely about 25,000 people will die this winter because of the cold. Ministers can't be allowed to stand by and watch it happen. If it were their grandparents at stake, they'd be doing something.

All Alistair Darling has done so far is send a letter to the energy regulator asking if everything's okay. But it's obvious to everyone except him that everything isn't okay. Prices have almost doubled in five years. The average npower customer will see their bill top £1,000 for the first time ever this year. And that's on top of the squeeze on our finances from rising council tax and rising food prices.

Up to 150,000 families in Yorkshire and Humber are in "fuel poverty" meaning they have to spend more than £1 out of every £10 they earn on fuel. People with pre-pay meters pay up to a staggering £250 extra for their fuel just because they're on pre-pay. They are often older people who can't access special online discounts.

Some energy companies have special lower tariffs for people on benefits, or a pension. But the shocking truth is that these so-called "social" tariffs are often more expensive than the cheapest online deals! The companies call this "social responsibility". I call it an outrage.

So what do we do to get a fair deal on fuel for all of us?

I want the competition watchdog to investigate the big six energy producers, who control most of the market. We need to know if there's any underhand dealing going on to keep prices high, or keep out smaller companies that might offer us a better deal. The review by the regulator, Ofgem, announced last week, must be tough and thorough – we must know if they are working fairly for their customers.

The government's got an Energy Bill going through Parliament at the moment. It would be easy as pie to add changes to the law to protect us from any proven profiteering by the energy companies.

We should demand companies offer fair, lower charges for vulnerable customers like pensioners or parents struggling on income support.

At the moment, almost every company charges a high price for the first few units of energy you use – and then less for the rest. That's totally unfair on people trying to economise or save
the environment by using less. The system should be reversed, so your basic energy needs are cheaper.

And we've got to stop the overcharging of people on pre-pay meters. They shouldn't have to pay more than ordinary customers. There's an extra problem for people who use old-style token meters, who can be stung for back-dated price rises because the energy companies take months to update their meters. I want that ended too. The energy companies may squeal that they can't afford it. But that's total nonsense.
They're rolling in money at the moment. Not only did they
make plenty of cash when wholesale prices dropped a year ago, they've landed themselves a huge £9bn windfall from the European Union, through a complex system called the EU Carbon Emissions Trading Scheme.

This vast pot of cash works out at about £360 for every British family. It should be given back to us, either in lower prices for everyone or lower prices for people who really need it, like pensioners.

And we should invest far more time and energy into helping people keep their homes warm with less energy. That way families can save money and save the planet. Schemes to help with insulation, like the Warm Front programme, need to be extended, and pushed forward by local councils too.

And the Government should finalise a date to roll out across the country clever new "smart meters". These devices make it much easier for families to see what energy they're using and work out how best to use less.

Families are fed up with paying through the nose to keep warm. We're fed up with pouring enormous sums of money into the pockets of executives at the big energy companies. Instead of sitting on their hands, the Government's got to act.

I understand that prices are rising in part because of complex international changes, like the price of oil, the end of North Sea gas, and climate change. But that's no excuse not to look after the vulnerable. All we want is a fair energy market, where no-one is left cold and ill because they can't afford to keep the gas on.


Nick Clegg is leader of the Liberal Democrats and the MP for Sheffield Hallam.