Want to know more about the prepayment price cap?
You may or may not have heard (or just be generally confused) about the prepayment price cap that has been proposed.
The plan risks raising bills for dual fuel prepayment customers by just under £1 a week. However, according to a Competition and Markets Authority spokesperson, the plan is based on striking the “right balance between protecting vulnerable consumers and ensuring energy suppliers are still able to operate and compete”.
A higher percentage of prepayment customers are classed as vulnerable, meaning there is greater worry that the new price cap rise will have significant repercussions on this consumer group, especially as they may face yet more rises later this year.
The price cap was originally due to run alongside the Smart Meter roll-out initiative, with the cap falling in line with the growing number of smart meter installations. Due to the delay in the initiative, there are discussions that the price cap could stay in place until 2020.
It has been raised that there are limited suppliers that are currently providing prepayment customers with smart meters and therefore leaving vulnerable customers open to potentially further financial risk.
As the energy company with a strong customer focus and smart meter installation programme, Nabuh Energy is working ahead to ensure that prepayment customers are not only being offered a smart meter in line with the Government initiative but are also paying more affordable prices. The Sunday Times (June 2019) recently highlighted the company as the cheapest supplier with an average annual spend of £900 on their Energy Deals piece.
The company has also shown to be the cheapest Northern Scotland tariff, the cheapest Prepayment tariff in various regions and to have one of the most competitive Direct Debit tariffs via many comparison publications and websites.
The use of fixed-term tariffs and no exit fee aids customers in their weekly/monthly budgeting, ease of movement and acknowledgement of daily spend.
The aim is to continue the company growth whilst ensuring that prepayment customers are receiving the service and price point that they deserve.