Energy company E.ON became the latest supplier to raise prices, inflating gas bills by 26 per cent and electricity by 16 per cent.

Following the price hikes recently introduced by EDF and British Gas, the German energy giant said it had no option but to increase prices, due to the 51 per cent rise in wholesale costs since February this year.

The new increases will bring further misery to E.ON’s five and a half million customers.

Graham Bartlett, managing director of E.ON’s retail business, said: “I’m very aware of the effect that today’s announcement will have on our customers and I recognise that this is a very tough time for everyone.

“This was not an easy decision to make and we’ve tried to keep these increases as low as possible while protecting as many of our customers as we can.”

Chiltern’s Nathan Gladwell says: “This announcement heaps further misery on the thousands of E.ON’s customers who are already under the financial cosh.

“An estimated 6 million people will be in fuel poverty by the end of the year and it’s not difficult to see why. More needs to be done to ensure people can find the best energy tariffs for their area.

“It’s certainly worth visiting www.chiltern.uk.com/energy where you can compare the best available rates for your postcode, and switch suppliers easily when you find a better deal.”