uSwitch gas & electricity news June 2006

ScottishPower has announced its second price rise in less than six months. The supplier will be raising gas prices by 17% and electricity prices by 10% from 10th July 2006. The news is not entirely unexpected as ScottishPower's price rise in March was lower than many other suppliers with increases of 15% for gas and 8% rise for electricity.

The supplier has stated the prices rise were necessary, as they needed to pass on the costs of the continued rise in wholesale gas prices. ScottishPower’s Director of Energy Retail, Will MacDiarmid commented, “ As we indicated last month wholesale energy costs continue to rise and are now at a record 80% higher than this time last year”.

The announcement has raised speculation that other suppliers will follow with a second round of price rises in 2006. Tim Wolfenden from uSwitch.com commented, “So far, only one supplier Scottish and Southern Energy has committed to freezing prices for the rest of 2006. What really concerns us now is that other suppliers will use this as a green light to implement a further wave of price increases, something which could prove the tipping point for many customers, already struggling to manage their energy bills.”

uSwitch.com has updated all ScottishPower tariffs in our gas and electricity calculator.