SSE confirms 3.5% bill reduction

Fifth member of the Big Six energy providers confirms it will pass on Government cuts to its customers.

SSE will be passing on some of the money saved as a result of Government cuts to green levies to its customers in the form of a price cut.

The 3.5% cut will apply to all customers and knock off £38 a year from the average energy bill.

Rising energy bills

SSE customers will see a fall in their energy bills from 24th March, although as prices went up 8.2% in November, the overall cost is still rising.

It has also confirmed a price cap at the new lower level until spring 2015 – unless there are any “marked or sustained increases” in wholesale energy costs.

Customers with an average dual fuel bill will see a drop to £1,174 from £1,224. The Government changes mean customers will also receive a £12 rebate, bringing the total money saved to £50.

British Gas, E.ON, EDF and Scottish Power have all confirmed a cut in their winter price hikes. Of those British Gas is the only one to apply the cut to customers on both fixed-rate and variable tariffs.

Npower now remains the only company of the Big Six yet to announce a drop in prices after putting them up by 10.4% in November.

Will Morris, Group Managing Director for SSE, said: “When costs go up, prices eventually have to go up. When costs come down, so can prices. It’s that simple.

“Unlike some of our competitors, we think it is totally unacceptable to penalise customers on fixed and capped price tariffs for their loyalty by excluding them from these cost savings.”

How to save money on your bills

How much you save on your energy bill will depend on the amount you use. Although five of the ‘Big Six’ suppliers have announced cuts to planned rises, prices are still going up and the cuts won’t apply to all customers.

Switching suppliers is the best way to save money, especially if you’ve not done so for a while. The cheapest tariff at the moment comes from First Utility at £1,037, which is £286 cheaper than the average bill of £1,323.

* Saving calculated against an average bill of £1,323 Source: Energyhelpline

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