Electricity bills have been deemed to be the most baffling of monthly costs, new research has found.

A study commissioned by Gocompare.com discovered that 36 per cent of people find the bills difficult to understand, while 33 per cent and 16 per cent said the same for gas and water bills respectively.

Jeremy Cryer, Gocompare.com's head of energy, said: "Together, electricity and gas bills represent one of our biggest household expenses, but our survey suggests few people really understand what they are being charged for."

Mr Cryer added that, while energy price calculations are complex, better explanations of bills would make it easier for consumers to gain an understanding of their monthly outgoings.

These comments follow a study by Santander, which found that household bills have jumped by nearly double the rate of inflation over the last ten years.

Their costs jumped by 71 per cent between 2001 and 2011.