A debt charity has warned of a sharp rise in fuel poverty after 20,000 people sought debt advice relating to energy bills in the first half of this year. The Consumer Credit Counselling Service (CCCS) revealed that almost a third of people contacting it are already in fuel poverty after 19,437 of the people seeking its help with debts in the first six months of this year reported problems with energy bills.

Their average combined gas and electricity bill was £136 a month, a significant chunk out of their average net monthly income of £847. The burden of their energy bill was one of the reasons that these clients were, on average, £302 short of the amount needed to cover their basic living expenses each month. This shortfall meant they were not in a position to repay their debts, which averaged £15,759 in unsecured debt for this group. CCCS has subsequently warned that this shortfall could grow even larger if energy bills continue to rise.

Delroy Corinaldi, CCCS director of external affairs, said: "The finances of people in fuel poverty are already significantly overstretched – and we are extremely concerned that the current round of energy price rises could plunge them even further into debt."

The warning comes after Money Advice Trust (MAT), another...Source: Read more on this story---> Credit Today online