New ratings system for large electrical goods could result in household bills being cut by as much as £100 a year

It is part of a shake-up of the efficiency grading system by the Government for new products such as fridges, washing machines and TVs. It involves new energy labels stuck on the side of ‘white goods’ that must adhere to tougher energy efficiency standards than were previously demanded.

The old labelling system, which ranked goods from a lowly ‘D-‘ to a top rated ‘A+++’, had been criticised for lulling consumers into thinking that products were more efficient than they really were.

The new system now ranks goods as low as ‘G’ but only as high as ‘A’. Many shoppers may be confused at first as the new grading still uses many of the same letters. But the appliances that were previously being sold with ‘A’ or ‘B’ grade could now only be rated a ‘C’ or below.

Dee Fernandes, of the Association of Manufacturers of Domestic Appliances, says: ‘These energy ratings are starkly different from what were being used before.

‘It leaves more room for improvement at the top end of the scale to encourage manufacturers to make more efficient products that will save customers money.

‘The grades are not just for measuring energy efficiency but whether goods offer eco-modes and replacement parts are easy to buy if you want to repair them. Initially you might find that most goods are rarely ranked much above ‘C’.’