Homes facing winter energy bill price rise

Its average dual fuel bill will increase on January 18 by 8.7 per cent with electricity rising 7.7 per cent and gas by 9.4 per cent.

Having pledged in May to keep residential energy prices on hold during 2012, E.ON said yesterday that the new year rise was necessary because of the price of energy on the wholesale markets and regulatory costs.

E.ON has about 4.8 million domestic customers but 800,000 homes on fixed and capped tariffs will not be hit by the price rise.

From January 18, a typical standard dual fuel customer will see their bill rise by around £110 a year to £1,370.

Audrey Gallacher, director of energy at Consumer Focus, said: “Most industries will pass on rises in costs, but given the low levels of confidence consumers need to be reassured that retail bills, wholesale costs and company profits are in balance.”