Power game

Published on 03/10/2012 00:00

Many complain about what they perceive as the high price of fuel, both for vehicles and for power in buildings.

However, Which? magazine (October) has drawn attention to data from the Office of National Statistics showing that the proportion of household expenditure spent on gas, electricity and water is only 4.2 per cent this year, less than the 5.6 per cent spent in 1965.

From 1964 to 2010, the cost of water and electricity has 
remained fairly constant in 2010 prices.

It is only the cost of gas that has steadily risen, spiking in 2005, but falling back somewhat in 2010.

The cost of gas may fall further due to a likely worldwide glut of gas from new sources.

So perhaps people have been bewitched by the effect of inflation on prices and are overreacting, unaware of the true costs 
involved.

Steuart Campbell

Dovecot Loan

Edinburgh