Bills to rise for a third of firm’s customers

Almost one million Scottishpower customers are to see their gas and electricity bill rise by 5.5 per cent. The energy giant announced new increases affecting 960,000 people – a third of all its customers – with an average hike of £63 a year for those with a standard dual-fuel package. Those who pay their bills quarterly will experience an even greater rise, of about £85.

The new pricing plan will come into force from 1 June.

Neil Clitheroe, chief executive of Scottishpower’s retail section, defended the 5.5 per cent rise and stressed most customers would be unaffected.

He said: “Unfortunately our standard variable prices are increasing. This reflects rising wholesale energy costs and compulsory non-energy costs.

“Two-thirds of our customers are unaffected. We will be contacting all customers affected by the price change to give them the opportunity to move to a fixed-price tariff alternative and avoid this increase.”

The increase is well above the UK inflation rate of 2.8 per cent, which the Bank of England said earlier this week was at its lowest level in a year.