End to energy cap deals may ‘impact debt management’

Consumers who fail to switch their energy supplier within the coming weeks could find their debt management problems amplified, a financial expert claims.

According to SimplySwitch.com, the capped and fixed priced deals offered by many providers are set to come to a close with customers automatically switched to a standard tariff.

As a result Britons could be paying some £300 more for their energy, a figure which could impact upon their ability to make secured personal loan repayments.

Founder of the price comparison website Karen Darby claimed that with energy prices set to "fall further" Britons should look to switch to a cheaper, alternative tariff as soon as possible.

She added: "Consumers need to be proactive – anyone who fails to act will see a huge jump in their energy prices."

Findings by the Alliance Trust Research Centre revealed revealed that low-income families spend 41 per cent of their weekly budget on essentials such as utility bills and food, compared to 17 per cent for well-off Britons.

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