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Auditors call for consumer help with bills

People hoping to pay off debt through saving on bills are being confused by complex tariffs, the National Audit Office (NAO) has found.

The body had investigated the pricing of telephone and energy plans since the markets were largely deregulated in recent years.

Authorities removed price controls and broke up previous monopolies in an attempt to increase competition and cut costs for the consumer.

"Some consumers, particularly those classified as vulnerable, are still unable to take full advantage of the competitive market for a variety of reasons, including complex tariffs and a lack of easily accessible, trustworthy, relevant, understandable and comparable information," the report states.

Head of the NAO Tim Burr added: "The removal of price controls is an important step in the development of competition in these markets, but it is not the end of the story.

"[Industry watchdogs] Ofcom, Ofgem and Postcomm need to be vigilant, and be prepared to use their other powers when necessary, to ensure genuine competition is present and that it is working to serve consumers."

In a poll conducted by the NAO, 90 per cent of phone and energy customers find it "easy" to switch suppliers - an essential factor in a truly competitive market.

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