Media playback is unsupported on your device

Homeowners urged to buy energy together for better deal

17 February 2013 Last updated at 18:43 GMT

London's councils are trying to get a million homeowners to sign up to a deal to buy their energy together to try to lower their bills.

Homeowner Trudy Kennedy says she has been trying to economise by reducing her energy use, while councillor Catherine West from London Council says she hoped that by people purchasing energy together, homeowners would get a better deal.

Mark Littlewood from the Institute of Economic Affairs says the scheme makes it nearly impossible for voluntary groups to enter the market.