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SSE to deliver 5.3% gas price cut from 29 Mar 2016

Posted by Anna Carlini on 2 February 2016 at 10:15 am

SSE has followed in the footsteps of E.On and cut its standard gas tariff by a slightly higher 5.3%. This comes amid calls for energy giants to pass on some of the savings from the fall in price of wholesale gas which is down by 51% since the end of 2013. They claim that this cut will result in a saving of £32 per household over the year.

Amber Rudd, secretary of state for energy and climate change has said “SSE has taken a step in the right direction and I urge other suppliers to follow suit,” but just as E.On faced criticism for the small extent of their cuts, SSE is facing similar complaints. Some feel it simply does not match up to the fall in the price of wholesale gas.

Like the price cut made by E.On, this one applies only to gas and not to electricity. SSE have claimed that it would be too difficult to make reductions to electricity bills due to the cost of supply and modernising the UK's transmission and distributions network.

SSE, however, is also receiving criticism for the starting date of these rates. Unlike E.On's cuts which will begin at the end of February, SSE's come into effect on 29 March. These cuts will therefore take effect right at the end of the heating season, meaning that households with SSE will not save any money on their winter bills this year. 

These new standard rates, however, are still not as cheap as you could get for switching energy providers. So again we would advise you do some investigative work and look at other tariffs: switching may be your best option to save money. 

Source: BBC

Image: Thomas

 

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