Friday, 24 August 2018

Scottish Power to raise its standard variable gas and electricity prices

Scottish Power is to raise its standard variable gas and electricity prices from 8 October.

It said dual fuel prices would increase by an average of 3.7%.

The company said the rise was due to wholesale energy costs having risen by more than 20% since April.

It is the second price increase announced by Scottish Power this year. In April, it said it would raise its gas and electricity prices by 5.5% for a third of its customers from 1 June.

On Friday, Neil Clitheroe, chief executive of Scottish Power's retail division, said the increase in standard variable prices reflected "rising wholesale energy costs and compulsory non-energy costs".
The company said the majority of its customers would not be affected as more than two-thirds were on fixed-price products or other tariffs not affected by the price change.

Those affected "will be contacted and offered the opportunity to move to a fixed-price tariff", it said.

The UK government said it was "disappointing that Scottish Power has announced another price rise in its default tariff at a time customers are already paying more than they need to".

A spokeswoman for the Department for Business, Energy and Industrial Strategy said: "This is why the government is introducing a new price cap by this winter to guarantee that consumers are protected from poor value tariffs and further bring down the £1.4bn a year that customers have been overpaying."

BBC     News.

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