- Major supplier SSE to crank up costs of energy this winter
- The firm blames increased cost of buying and delivering wholesale energy
- New rates will come into play from November, three times the rate of inflation
- This will add £2 a week to the average dual fuel customer
- Take action with energy efficient home improvements to counter bill increases
It’s that time of year again when we’re turning up the thermostat to keep warm and using more electricity to light up our homes. But for many homeowners it’ll be a colder winter than ever before, after SSE revealed energy prices will be increased in November.
SSE are one of the big UK energy suppliers and serve around 10 million customers. And the rise expected on November 15 will likely trigger similar moves from the other large suppliers, including British Gas, Npower and EDF.
The firm is blaming the increased prices of wholesale energy for the hikes, which will add a further £2 to weekly bills. This equates to nearly £100 a year and will push many over the tipping point into fuel poverty.
Energy prices in the UK have increased by 160% in the last decade according to Watchdog, and you can expect your annual bill to double by 2020. Only 12 months ago SSE pushed up prices by 9%, despite profits of £410 million in the year to March.
SSE’s group managing director of retail, Will Morris, said: “We’re sorry we have to do this. We’ve done as much as we could to keep prices down.
“But the reality is that buying wholesale energy in global markets, delivering it to customers’ homes, and Government-imposed levies collected through bills – endorsed by all the major parties – all cost more than they did last year.”
The table below shows how prices have increased across the board since 2011:
And this news of inflated prices comes just weeks after Labour’s Ed Miliband pledged to halt energy rises for 20 months if he came into power in the 2015 General Election.
Moneysavingexpert’s Martin Lewis believes these hikes will ultimately lead homeowners to making an important decision between heating and eating.
He said: “The most important thing to understand is that the big six energy companies are like sheep – where one goes, the rest will almost certainly follow in the next three months.”
So how can you counter these price hikes and keep your energy bills as low as possible? Well first off it may be worth considering a change in provider or tariff. Online energy price comparison sites can help you to get the best deals available.
But if you want a change for the years to come, why not invest in home improvements. This could be with energy efficient double glazing to keep the warmth in your home, solar panels to generate your own energy, or a replacement boiler to produce more heat for your money’s worth.