Fixed-deal energy prices prove popular

As we head into the winter months, many Brits are worried about their energy bills and their rates potentially sky-rocketing.

Most people are working hard to scrape just enough cash to get by, with rising heating and energy bills putting even more strain on hard-up families.

Given the turbulence of the past few months, it seems that, when it comes to money matters, it's wise not to take too much for granted.

Property prices have dropped drastically and pension pots have lost much of their value almost overnight, despite some of the world's top experts heralding an end to 'boom and bust' economics as recently as two years ago.

So, the prospect of having their bills frozen for the next few years, at least, is likely to be warmly welcomed by millions of UK consumers, most of whom are tired of paying over the odds for their energy and having to constantly make the effort to switch utilities suppliers in order to get the best deal.

Frozen energy rates mean that consumers don't have to worry about price hikes when they will be using energy the most - over the winter period, giving many cash-strapped families some peace of mind.

Fortunately for the most vulnerable UK households, this could well become a reality in the future as the water industry regulator Ofwat plans to give struggling consumers a much needed break from ongoing uncertainty and price increases.

Under the watchdog's proposals, the typical household will see their water and sewerage bill fall by four per cent to £330 by 2015, with suppliers either implementing scaled reductions between now and then or else holding their rates steady.

As well as giving consumers a much-needed hand, this will also offer suppliers a guaranteed income, which they can then put towards investing in maintaining and improving services, particularly the drinking water quality levels across the UK.

Though still in their early stages, the proposals have been welcomed by a number of groups, including Consumer Focus, with deputy chief executive Philip Cullum suggesting that they could, in many cases, even lead to an improvement in the quality of people's lives.

"Lower prices will be good news for vulnerable customers struggling to pay the bills and who may be limiting the amount of water they use," he said.

"It's important that we're all more conscious of our water consumption, but this should not be at the expense of basic living standards such as bathing and washing clothes."

While these plans are certainly good news, so far there has yet to be any suggestion that gas and electricity companies are set to follow suit and offer consumers guaranteed affordable prices for the next few years.

Indeed, though no reductions are to be sniffed at and though these latest rate drops should be a big bonus to many of the most vulnerable members of society, including low-income families and the elderly, it seems a safe bet that shopping around and switching utilities suppliers wherever appropriate will continue to be as vital as ever.