Energy Price Hikes Imminent

Customers throughout Scotland face a new wave of energy price hikes, as Scottish Power and Scottish Gas announce they’re increasing their standard variable tariffs.

The move comes after Ofgem recently ‘upped’ the price cap.

Scottish Gas is raising prices by whopping 10.5%, which will see the average dual fuel bill increase by £119.12 a year, now costing the average customer £1,254 a year. Prepayment meter customers will also face a £107 (9%) price rise.

Similarly, Scottish Power is also raising its prices by 10% . That’s £117 a year meaning its standard plan will also cost on average £1,254.

The proposed price rises have created anger amongst existing customers. The energy price cap set up government regulatory Ofgem was labelled a “con” after it emerged Scots will take the brunt of this, facing bill hikes of up to £184 a year while the number of cheap deals, especially south of the border have been slashed. The controversial price cap, contradicts the Prime Minister’s statement in the Commons last week that the cap “provided protection to 11m households and energy suppliers will no longer be able to rip off customers on poor value tariffs“.

A Blantyre lady, who raised this story, told us earlier today, “I am livid at this latest increase. It will soon be choosing between food and heat for me! These companies seem to be increasing prices constantly.”

Seeking an explanation, Ofgem commented to us, “It is true some households, particularly in Scotland will pay more from April. However, those affected will still pay a “fair price” for their energy as the increase reflects a genuine rise in underlying wholesale costs, rather than provider profiteering.”

The latest price rise comes into effect on April 1 and will impact 3.9 million British Gas customers and 900,000 Scottish Power customers.

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