Natural gas storage

Deborah McGurran Editor, Politics Show East

This week the government has announced a package of measures aimed at helping us pay our soaring energy bills. But are the problems of fuel costs simply down to money?

Gordon Brown is taking nearly �1bn from the energy companies, to spend on new insulation programmes and support for the most vulnerable.

In August, it emerged that some consumers living in the east of England will be facing a price rise of almost 44% in their gas bills.

That is more than anywhere else in the country.

(Those affected are British Gas customers who only buy gas .. not dual fuel .. and who pay for that gas by monthly direct debit.)

We look at whether the shortage of gas storage in the UK is contributing to the problem.

Storage facilities allow companies to buy gas at lower "summer" prices when demand is less and keep it for sale in the winter when demand is high.

Britain has the lowest storage capacity of any major country in Europe.

Loft insulation is part of the package

Now, Italian energy group ENI is trying to create Britain's biggest gas storage facility in the North Sea, off the coast of Bacton gas terminal in Norfolk.

As they wade through red tape, homeowners face a winter of burgeoning bills.

Here is some advice from Martin Lord, manager of the Northampton Citizens Advice Bureau, if you are feeling the pinch this winter:

Of the thousands of clients with serious financial problems presenting to the region's Citizens Advice Bureaux, very, very few will be bothered whether the fault lies with global fuel prices or a failure of effective competition.

Another month and another round of announcements of increases in gas and electricity prices.

There are still opportunities to minimize the effects of rising prices Martin Lord, Northampton Citizens Advice Bureau

Although there is no one, single, simple step that can be taken to reduce gas and electricity bills there are still opportunities to minimize the effects of rising prices.

What You Can Do:

• Find the cheapest supplier for your needs

You may be able to reduce your gas bills by changing your fuel supplier.

You can find more information about changing your fuel supplier from the website of the gas and electricity watchdog. www.energywatch.org.uk

• Protect your home against heat loss by ensuring it is properly insulated

You might be eligible for help from a range of grants and schemes.

The main scheme is a home energy efficiency scheme known as the Warm Front Scheme and information about this can be obtained by calling 0800 312 2805.

• Use energy more efficiently

For advice go to the website of The Energy Saving Trust. www.energysavingtrust.org.uk

• Establish whether you are entitled to additional social security benefits such as the Cold Weather Payment.

This is available to people on low income during periods of cold weather and winter fuel payments are available to the over sixties, tax free, every year.

Finally, although rising gas and electricity prices affect everyone, those already in financial difficulties will be likely to get the biggest jolt.

Seek advice on reducing your heating bills

Maybe, for some, it will be time to seriously confront their financial problems with the help of a skilled adviser.

Free quality assured advice is, of course, hugely oversubscribed but it is worth persevering to get it.

Advice can help you restructure your household finances, prioritise between the people you owe money to so you do not end up "robbing Peter to pay Paul" and put you in a better position to survive financially as winter approaches.

Details of local Citizens Advice Bureaux and online information can be found at www.adviceguide.org.uk

The Politics Show East

The Politics Show with Jon Sopel and Etholle George on Sunday 14 September 2008 at 1200 BST on BBC One.

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