ScottishPower is the fourth of the big energy companies to put up their prices by 8.6% for a typical dual fuel bill, which will increase a bill by £113. There will be a 9% increase for electricity and an 8.5% increase for gas. ScottishPower’s price rise will become effective from 6th December.
Similarly to the other companies, ScottishPower put their price rise down to increases in wholesale costs, delivery costs and environmental and social taxes, 7%, 11% and 16% respectively.
ScottishPower released its financial results for the first nine months of 2013, showing an “operating loss of £23 million for the firms retail and generation activities in the UK.”
The CEO for the Energy Retail and Generation at ScottishPower, Neil Clitheroe explained how due to an increase in the stated costs that are in place for compulsory schemes and to reduce carbon gas emissions and to improve energy efficiency in households, they had to increase their prices that their customers pay.
The energy company has agreed to write to their 2.2 million customers who will be affected to give them detailed information on the price change.
Interestingly Ed Davey said “with fifteen independent energy suppliers to choose from outside the Big Six, its surprising that these companies think they can keep getting away with bill hikes of this magnitude.” (Energy Live News 2013) It is true that as more people look to switch supplier and look for competitive deals, companies such as ScottishPower upping their prices will have consequences.
To look at competitive prices for energy suppliers visit www.energyswitcheroo.com to see the savings you could make.