United Utilities sees trading in line with management forecasts
While the rest of the UK economy continues to suffer it appears as though the utility sector has remained fairly strong with United Utilities repeating its view that profits will be in line with earlier management forecasts. The sector as a whole has come in for severe criticism over the last few months as utility prices mushroomed in 2008 and only now are we starting to see a reduction in consumer bills.
When the UK utility reporting season starts will get a more detailed overview of the sector as a whole and no doubt there will be more criticism of the UK's utility providers. While there have been small reductions in the price of electricity and gas across the board, these have to be compared against a significant increases seen last year which pushed many UK consumers to the edge.
The government has time and time again threatened to instigate a review of the sector by the competition authorities but so far we are yet to see this materialised. There is a feeling that the sector at this moment in time is more powerful than the UK authorities and there are concerns as to what the government can really do to help consumers in the short to medium term. If they push the companies too hard, they will reduce their investment in new technology but if they leave them to charge prices which in the eyes of many are "over the top", the government risks a serious backlash in the polls.
Share this..
Related stories
Expert hails minimum wage success
Britain's national minimum wage (NMW) is one of Labour's "crowning achievements", an employment expert has said.David Coats, associate director of the not-for-profit Work Association organisation, argues in a report published today that the redistributive effects of the NMW have helped reduce income inequality to levels not seen for two decades.He argues that the real-term surge in the NMW from 20...
Read MoreUK recovery will be patchy
The Centre for Cities, an association which monitors prominent cities around the UK, has today suggested that various UK cities are better prepared for the eventual economic upturn than others. The association has cited Brighton, Milton Keynes, Reading, Cambridge and Edinburgh as having "the right ingredients" to succeed when the economy turns although places such as Stoke, Burnley, Barnsley, Newp...
Read MoreReforms 'will help energy customers on low incomes'
Ministers are discussing new plans to improve the affordability of energy for those on low incomes.A £2.75 billion home insulation programme is to be rolled out later this year, which will aim to lower bills in the long term through improving the energy efficiency in properties held by some of Britain's poorest families.The schedule of the three-year scheme is to be changed, in order to make more...
Read MoreUK recession was the deepest since 1921
It has been revealed that the UK recession, which many believe ended in the final quarter of 2009, was the deepest and the hardest hitting since 1921. While it would be unfair to suggest that no other economies around the world have suffered to the same degree as the UK economy, there is no doubt that the UK is one of the slowest economies to recover. This has been a wake-up call to many who ro...
Read MoreASDA Set To Challenge Tesco Finance Arm
In a move which may well slow the juggernaut which is Tesco, Wal-Mart owner ASDA has announced plans to introduce a mortgage service before the end of 2008, in direct competition with rival Tesco. While Tesco recently announced plans to introduce their own stand alone loan service, ASDA are currently in discussions with three mortgage brokers about putting the service together.
The...