Coal prices set to rise by 25%

The price of coal is set to surge by 25%

Coal prices are about to rise by 25%, the Northern Ireland Coal Advisory Service has confirmed.

An increase in the cost of electricity is in the offing and sharp hikes in gas and oil bills have already taken place.

In the face of escalating fuel costs, the Northern Ireland Assembly has set up a task force on fuel poverty.

Social Development Minister Margaret Ritchie said on Wednesday that many households would be facing a "bleak, cold winter".

"With these huge increases in gas, oil, coal and electricity many households will be facing a bleak, cold winter and we must do more in the short term," Mrs Ritchie said.

The minister said she wanted to act quickly to put measures in place which would help those already living in fear of what the winter may hold for them.

She will be pressing the government to increase the Winter Fuel Payment.

"Northern Ireland is colder than the average UK region but has the highest fuel and energy costs.

"There is a very strong case for a substantial increase or substantial refocusing of Winter Fuel Payment so that it is of maximum benefit to those facing hardship and cold this winter," Mrs Ritchie said.

The Coal Advisory Service blamed the increase on world energy markets and transport costs.

A spokesman said smokeless fuels would not rise to the same degree, but would increase by about 15%.