An increase of £63 per year is set to be felt by households that use Scottish Power due to the latest increase by a member of the big six.
960,000 customers on dual fuel will feel the effects of the 5.5% increase, the same level of increase levied by British Gas, but higher than that charged by E.ON and EDF. The increase will come on line on the 1st June.
The rise has been branded "unjustified" and "extremely disappointing" by Claire Perry, the energy minister. The only large providers that have not announced price rises are SSE and npower.
The Government's planned cap on standard tariffs will be introduced later this year.
Scottish Power has indicated that rising wholesale costs, government charges and smart meters have been the major factors behind the increase.
According to Stephen Murray of Moneysupermarket:
“Today’s announcement of a 5.5% rise from Scottish Power may not sound like a big one but it’s the equivalent of £63 a year, on top of what households are already paying if they’re on a standard variable tariff,”
EDF energy recently decided to increase charges for more than 1 million customers by 1.4%. This increase has affected more than 40% of their customers, with an average bill having increased by £16 to £1,158.
The first provider to raise rates in the most recent round was E.ON, which raised charges for 1 million households from the 19th April.
The increases levied so far have failed to motivate households to switch providers, with the level of switches falling from 536,658 in March 2017 to just 474,235 in March 2018.
Whatever the final outcome, reducing your household bills is an important part of your personal financial journey.
Contact Westminster Wealth Management today and one of our experienced financial advisers can go through your personal financial situation with you, identifying the important expenses while shining a light on those that may be sapping your future wealth.
The value of investments and income from them may go down as well as up and you may not get back the original amount invested.
Information is based on our current understanding of taxation legislation and regulations which is subject to change.