SSE vow no jobs will be lost after take over
Politicians have been assured there will be no job losses after Perth-based energy giant SSE said it is set to sell its energy services business.
Ovo Energy is set to buy SSE energy services for £500 million, with the transaction is expected to be completed by late this year or early 2020.
All of SSE’s employees in energy services, including at its Inveralmond base, will be transferred over to Ovo and up to 300 employees’ pensions may also be turned over to a new pension scheme.
However, SSE says it will do all it can to make sure there is no impact on its customers.
Alistair Phillips-Davies, chief executive of SSE, said: “We have long believed that a dedicated, focused and independent retailer will ultimately best serve customers, employees and other stakeholders - and this is an excellent opportunity to make that happen.
“Ovo shares our relentless focus on customer service and has a bold vision for how technology can reshape the future of the industry.
“I’m confident that this is the best outcome for the SSE energy services business.
“Following the transaction, SSE will be able to give an even greater focus to delivering the low carbon infrastructure needed to help the UK reach net zero emissions.
“We have a clear strategy around developing, operating and owning renewable energy and electricity network assets, along with growing businesses complementary to this core.
“With a large and growing renewable energy pipeline and a leading position in the electricity networks needed to deliver low carbon energy reliably to homes and businesses in an increasingly electrified economy, we’re well placed to create value from low carbon transition.”
The move comes after a deal to merge SSE retail with npower fell through earlier this year.
At the time, SSE blamed the government’s energy price cap and increasing market competition.
Pete Wishart, MP for Perth and North Perthshire, said: “This is a massive transfer of staff and consumers across companies and it will have a big impact on the whole provision of energy across Scotland.
“I visited SSE today and have been in discussion with them about the implications of this transfer for the Perthshire based SSE staff in Inveralmond.
“I have been reassured that all of the 8000 staff will be transferred on existing terms and conditions and there will be no job losses.
“SSE are about the biggest private sector employer in my constituency and I will be hoping to meet Stephen Fitzpatrick, founder and chief executive of Ovo, as soon as I can.
“Meanwhile I had the opportunity to visit SSE Networks on Friday to meet apprentices and staff and had the opportunity to discuss this transfer with them.
“We need to be assured that this acquisition is in the interest of the Perth workforce and the wider energy market.”
Murdo Fraser, MSP for Mid Scotland and Fife, said: “Any change will be worrying for employees, but it’s reassuring to hear that there will be no job losses.
“I look forward to hearing from Ovo concerning what their plans are for the future of the business. This is a major employer in Perthshire and it would be good to hear that there will be future investment and more jobs created.”