Ofgem: Energy suppliers see margins grow

The margins achieved by energy suppliers have continued to increase over recent months, Ofgem has announced.

This is due to the falling wholesale cost of gas and electricity, the regulator identified, which has been met with criticism by some groups.

Thomas Lyon, Energy Expert at uSwitch.com, commented: "The report is further proof that energy suppliers need to follow in the footsteps of British Gas and cut prices as a priority so that customers can enjoy some relief on their winter bills."

He revealed that since November 2009, the margins have increased by £30 for energy suppliers.

As a result of the findings, Mr Lyon suggested that people should consider switching to a different product in order to make the necessary cuts to their bills.

At present, 1.3 million households are on an online plan, which can often prove to be the most competitive, he added.

Posted by Martin Ellis