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SSE set to hike bills after energy cap rise

SSE set to hike bills after energy cap rise

Major energy supplier SSE has announced a price rise, set to come into effect on 1 April.

The 10% price rise will affect 2.1 million customers on the supplier's standard variable tariff, and will add an extra £116 per year to their energy bills.

The hike means SSE's standard plan will cost £1,253 on average - £324 more expensive than the cheapest energy deal currently on the market.

Prepayment meter customers will also face a price rise of 9%, or £106 a year.

Beat the energy price rises

All of the big six suppliers have raised their prices following the Ofgem price cap increase. Don’t get caught out - switch to a fixed deal today!

Energy price cap rise

SSE is the last of the big six energy suppliers to announce a price rise this month, following E.ON and EDF Energy, npower, British Gas and ScottishPower.

All have raised their prices in reaction to Ofgem's new energy price cap, and have increased the average cost of their standard tariffs to the maximum cap rate.

Richard Neudegg, Head of Regulation at uSwtich, said: "One of the many risks with the energy price cap was that it would encourage suppliers to price default plans up to it — and with SSE's announcement today, every one of the big six energy companies has done just that."

£1.7 billion added to bills

More than half of households in Britain are on standard energy tariffs, which are often the most expensive available from suppliers. In most cases, your energy supplier will automatically roll you onto a default tariff once your fixed plan ends.

Commenting on the rise for standard plan customers, Richard Nuedegg said: "Over half the households in Britain are on poor value standard tariffs. Sanctioned by the regulator Ofgem, the big six will add £1.3 billion to the bills of 11 million customers come 1 April. They've also raised prices to the maximum allowed for prepayment customers. That's potentially another £380 million on bills, if all energy companies increase standard tariffs to the prepayment cap."

"Energy customers should now be under no illusion that these standard tariffs represent a good price for energy. We could be looking at a total price rise of almost £1.7 billion — one of the biggest hikes on one day in nearly a decade."

"But these price rises aren't compulsory. Consumers need to know that they can switch, quickly and easily, and make savings of up to £324 on average. Choosing a fixed deal also protects people from unexpected bill hikes and the confusion of twice-yearly price changes under the cap."

Beat the energy price rises

All of the big six suppliers have raised their prices following the Ofgem price cap increase. Don’t get caught out - switch to a fixed deal today!

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