Pensioners `out of pocket over utilities`

10 November 2008

Due to their reluctance to swap energy providers, pensioners are paying over the odds for their gas and electricity, it has been suggested.

According to research conducted by Age Concern, there has been no increase in the number of consumers switching providers despite the significant hikes in price seen over recent months.

It stated that only around one in five customers have changed their utilities company this year, while seven out of ten households say they are unlikely to even consider making a change.

The charity added that retirees are put at a greater disadvantage because of lack of access to online deals, making them more likely to be in fuel poverty and hence suffer problems with their personal finances.

"Pensioners are the most likely group to be fuel poor, yet are less likely to switch supplier or have access to cheap online deals and many pay higher rates because they pay by cash or cheque," stated Age Concern director general Gordon Lishman.

Meanwhile, figures produced recently by Abbey Credit Cards suggested that one in ten consumers are spending 90 per cent of their salaries on essentials such as rent and bills.

Tags: debt, pension, retirement

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