Millions of people could have their energy bills cut thanks to a landmark agreed between the Coalition and all major energy suppliers.

Nick Clegg has announced that the big six energy companies – EDF, E.On, British Gas, Southern, Scottish Power and NPower, who supply 99 per cent of British homes with energy – will now write to customers every year to specifically tell them what the best tariff is for them and how to get it.

‘Going Green has never made so much sense’
The Deputy Prime Minister made the announcement in a speech where he also hit out at people who believe you must dismiss the green agenda in order to deliver growth.
In his speech Nick Clegg said:

“There is a myth doing the rounds in political debate today; that here in the UK environmentalism has hit a wall; that green is for the good times; and that we cannot up our efforts to protect our environment while simultaneously growing our economy.
“But this new wisdom, however persuasive, is utterly wrong. Yes, right now climate change may be lower down some people’s thoughts. Yes, we need to be sensitive to businesses’ needs. But in so many ways, for so many consumers, for so many firms, going green has never made so much sense.”
You can read the full speech here.

Cheaper Bills
Currently there are more than 120 different tariffs on offer by the energy companies and seven out of 10 people aren’t on the best tariff for them. The average customer tends to stay on theirs for years, despite the amount of energy they use varying over time. In 2010, 75 per cent of people did not change their tariff.
The Government wants people to save money on their bills whilst also becoming more switched on to the idea of saving energy through green measures to make further savings and protecting the environment.

Nick Clegg said:

“We need to get bills as low as possible. I know that many families are struggling with rising energy bills. We can’t control volatile world energy prices. But we can still help people get their bills down.
“We want to see consumers saving money and engage with the energy they use. Precisely the kind of thrift that is good for pockets as well as the planet.”
Bills can be further reduced with energy efficiency measures such as installing loft and cavity wall insulation – which the Government requires the big energy suppliers to help households with and provide free to some of the most vulnerable consumers.