EDF, E.on, Npower and Scottish Power to increase millions of dollars bills by almost £ 100 / year after energy price cap is raised
From April 1, the Ofgem energy regulator’s price cap for standard variable tariffs (SVT) of credit meters, based on typical dual fuel use, will increase by £ 96 / year, from from £ 1,042 / year to £ 1,138 / year, due to rising wholesale costs. . Meanwhile, the cap on prepayment tariffs will increase by £ 87 / year, from £ 1,069 / year to £ 1,156 / year for a typical household.
It is up to energy suppliers to raise prices to the new cap thresholds, but British Gas has already confirmed that it increase bills for those on his SVT by almost £ 100 / year, and now EDF, E.on, Npower (which belongs to E.on but still sets its own prices) and Scottish Power have done the same. We asked another big energy company, SSE, if they also plan to raise prices to the new cap levels and we’ll update this story when we know more.
To beat the hikes, see if you can save with a full market comparison through our Cheap energy club. However, E.on, Scottish Power, SSE and Npower have yet to officially release their new rates below the revised cap, so if you are on their SVTs and do an Energy Club comparison, the savings displayed will currently be under. estimated. .
Prices will increase from the maximum allowed
Below, we put together who is affected by these price changes. But remember, the price cap level is NOT the maximum you could pay. Caps simply set a maximum load on the rates you pay for gas and electricity – use more and you’ll pay more, use less, and your costs will be lower.
Here’s how EDF, E.on, Npower and Scottish Electricity bills will change for typical dual fuel users:
- If you have a credit meter and are on a standard variable rate, the price will increase on April 1. Average prices will increase by £ 96 / year, from £ 1,042 / year to £ 1,138 / year.
- If you are a prepaid customer and benefit from a standard variable rate, the price will also increase on April 1. Average bills will increase by £ 87 / year, from £ 1,069 / year to £ 1,156 / year.
- If you are on a fixed deal, the price will NOT change until your fix is complete. However, if your fix ends after April 1 and you don’t change, you will be transferred to a standard variable rate, which will have become even more expensive due to the price increase.
Scottish Power says 1.5 million customers will be affected by both credit and prepaid meter price increases. E. We do not want to tell us how many households are affected, but it has 1.8 million customers on SVT credit meters, according to Ofgem. We are still waiting for EDF and Npower to confirm the number of customers concerned, but Ofgem indicates that EDF has 1.3 million SVT customers with credit meters, while Npower has around 900,000.