David Cameron: we'll force energy companies to offer lowest tariffs

The Prime Minister says legislation will be introduced to ensure customers are offered companies' best deals, but ministers haven't provided any further detail.

David Cameron has announced that energy companies will be forced to offer customers their lowest tariff.

The Prime Minister’s declaration follows a string of price rises from four of the ‘Big Six’ energy companies – SSE, British Gas, npower and Scottish Power.

In Parliament, Mr Cameron said that legislation would be introduced, as part of the forthcoming Energy Bill, to force companies to automatically offer their best deal.

However, the Department of Energy & Climate Change later appeared to backtrack, telling the BBC that “all options” were being looked at.

And some experts claim the plan would only limit competition among energy companies.

Ed Davey, the Secretary of State for Energy and Climate Change, avoided questions on the proposal during a question and answer session on the Energy Bill on Thursday morning.

And, following an urgent question from Labour in the House of Commons today, Energy Minister John Hayes didn't provide any more specific information. He said that the "fine detail" would be discussed with "energy companies, regulators and consumer groups".

Earlier this week, Which? wrote an open letter to the Prime Minister telling him "the energy market is broken".

The Energy Bill is due to be debated in Parliament in the coming weeks.

What do you think of the planned legislation? A good move or too little, too late? Let us know your thoughts in the Comments box below.

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