Gordon Brown calls on energy firms to pass on gas and oil price falls

As winter approaches, the Prime Minister said it was important that suppliers cut fuel bills to reflect the savings they had made as a result of declining wholesale prices.

Consumers have been hit with two sets of price increases so far this year, taking up the average dual fuel – gas and electricity – bill from
However, the price of gas on the wholesale market – which is closely tied to oil – has started to fall.

With the cost of oil half that of its $147 dollar-a-barrel high in July, wholesale gas has fallen by around 20 per cent from its record levels in the summer.

The energy companies argue that they have already bought the majority of the gas that they need for this winter and they will not be able to take advantage of lower prices until next year.

Telegraph