Two million SSE Energy customers to be hit with price hike
More than two million SSE Energy customers, including some under the M&S Energy brand, will see bills rise by an average of £76 a year this summer.
SSE is now the last of the ‘Big Six’ energy companies (British Gas, EDF, E.On, Npower and Scottish Power) to raise prices due to ‘higher wholesale and policy costs’.
From 11 July, 2.36 million SSE Energy customers, including those of white label brand M&S Energy, will see typical dual fuel bills rise by an average of 6.7%, adding around £1.50 a week to the cost.
Gas prices will rise by 5.7% while for electricity, it’s 7.7%. The energy giant has also announced it will remove the £6 per fuel, per year paperless billing discount from 11 July.
Any customer on a fixed-price tariff, prepayment meter, or those considered ‘vulnerable’ who are on a safeguard tariff, will not be affected by the price rise.
Stephen Forbes, chief commercial officer of SSE Energy Services, said: “We deeply regret having to raise prices and have worked hard to withstand the increasing costs that are largely outside our control by reducing our own internal costs. However, as we’ve seen with recent adjustments to Ofgem’s price caps, the cost of supplying energy is increasing and this ultimately impacts the prices we’re able to offer customers.
“We will be writing to all affected customers, setting out details of the changes and identifying any ways in which we could help them save money. I’d urge any customer concerned about their energy costs to contact our customer service teams or visit our website as there’s plenty of support available, including around £50m of financial assistance available through the Warm Home Discount scheme.”
‘Bad value tariffs’
Peter Earl, head of energy, Comparethemarket, said: “The company announced last week that it lost 430,000 customers in the past year, so it is clear that people are realising that many tariffs offered by these energy giants are fundamentally bad value.
“With switching levels at record highs, an increasing number of people are benefiting from the significant savings on offer by switching supplier. However, the majority of customers remain stuck on the poor value default tariffs that cost an average of £315 more than the cheapest tariff available on the market. It is essential that customers review their energy costs every year to ensure that, once they have switched, they remain on the best deal possible.”