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Energy prices are a postcode lottery

29th March 2007 Print
From 30th April 2007, npower will reduce its prices by 16% for gas and an average of 3% for electricity. However, it has been revealed that while some customers will see their electricity bills cut by up to 14%, other areas will see no change.

Karen Darby, founder of price comparison and switching service, SimplySwitch.com said; "3% is the average electricity cut across the country, but there are huge regional variations. Npower, like other energy suppliers, is cashing in on its customers loyalty by only cutting prices significantly in regions where it wants to increase its market share. Customers in its host regions, Yorkshire, Northern or the Midlands, are unlikely to benefit, while other customers will see their bills drop by as much as 14% - it is a postcode lottery."

"Analysis of each of the 14 original electricity areas in the UK has shown that households in a company's host region can pay significantly more for their electricity than those on an identical tariff with the same supplier in other parts of the UK. In some cases, this difference in an annual bill is over £100.

"There are many more competitively priced electricity products available for these customers. Dual fuel is not always the best option and consumers could be better off switching to the cheapest suppliers individually for gas and electricity."