The injection moulder, who wished to remain nameless, contacted the magazine after we revealed that some plastics companies were facing price increases of up to 100% (PRW.com 15 August).

He said: “They could put me out of business. The increase is that big on the electricity bill it could equate to wiping out my whole profit from last year - and it was a good year last year.”

He added: “The government is just crazy. I view myself as a Coronation street [sized} business that will be charged another £100 a day.”

Businesses are forced to sign up to long term contracts, typically lasting between one and five years, while domestic customers can switch suppliers every 28 days.

It is common practice for businesses to be presented with a new, inflated, energy price and only given 24 hours to decide whether to take it or not.

The British Chambers of Commerce (BCC) asked the energy regulator Ofgem to look into these aspects earlier this month and requested that an independent energy watchdog be set up to look after the energy concerns of businesses.

Yet despite concerns over the matter, the specialist unit giving help and advice to SMEs on energy pricing issues is still set to close at the end of next month.

The Energy Watchdog’s specialist business unit will close when Energy Watch is amalgamated into a new organisation in October and won’t be replaced.

Microbusinesses – classed as those employing 10 people or less – will be able to take their complaint to an independent ombudsman. But larger businesses will have to look to their trade associations for help and advice.

Spokesperson for Ofgem, Chris Lock said the long term contracts “in some ways does shield them from energy price rises.”

He added: “The problem obviously arises when you come to renew your contract.”

However, Lock said the energy regulator had launched an investigation into energy pricing – covering business use – and the results would be revealed later this year.