Average annual gas bill reductions of 5%*
Reduction effective from 27th February 2012
For a typical monthly Direct Debit standard gas customer the annual bill will fall by £36**
ScottishPower today announced reductions in its gas bills for around 1.4 million domestic gas customers.
From 27th February 2012, ScottishPower’s domestic customer’s annual gas bills will fall by an average of 5%. This equates to an annual reduction of £36 for both dual fuel and gas only monthly Direct Debit customers.
Announcing the cuts, Neil Clitheroe, ScottishPower’s CEO of Energy Retail and Generation, said:
“Our customers want competitive prices from a responsible supplier. We understand that household budgets are tight in these tough economic times and with this in mind, we are pleased to be able to pass on lower prices and help our customers when we can.
“In October, we pledged not to increase standard prices for gas and electricity over the winter months, extending until at least 1st April 2012. Today’s reduction is being made as part of our commitment to continually review our tariffs.
“Having said that, we have already secured the majority of our energy requirements for this winter. It is important that we do this to ensure we have sufficient supplies when our customers need them and to protect customers from the impact of volatile movements in the wholesale energy market.
“Although there has been a short-term fluctuation in the wholesale gas market that has allowed us to pass on today’s reductions, the global demand for energy is increasing faster than its supply. This will inevitably lead to higher energy costs in the long-term.
“Wholesale charges represent around 55% of the typical gas bill. The remainder of the bill is primarily made up of fixed components such as network charges, environmental, social and regulatory costs.
“To get the most from our new lower prices, we would, as always, encourage all of our customers to contact us to make sure they are on the best tariff for their circumstances. We have a range of products available to suit customer requirements.
“In addition, we would encourage our customers to further reduce their energy bills by taking a few energy efficiency measures such as loft and cavity wall insulation – free of charge for customers that qualify***. We have many ideas for saving energy on our website, www.scottishpower.co.uk.”
Media information: Simon McMillan 07753 622 257 Paul Ferguson 07702 665 924
Notes to Editors:
* 5% gas bill reduction applies to domestic gas customers with average annual mains gas usage of 16,500kWh supplied on the following products: Standard, Discounted Energy (all versions), Fresh Start, Pay in Advance, Online Energy Saver (all versions), SP Direct, Simply Green Energy, Capped Price Energy (some versions excluded) and Unifi Capped Energy January 2014.
** Annual saving of £36 shown is based on an average of monthly Direct Debit standard gas customers across Britain, with annual usage of 16,500kWh. Figure shown includes VAT at the current applicable rate of 5%.
*** We are committed to helping everyone who’s entitled to free insulation get their home insulated. If you are 70 or over or on one of the eligible benefits you could qualify. Eligible benefits include: Attendance Allowance, Council Tax Benefit, Child or Working Tax Credit (income no more than £16,190), Disability Living Allowance, Disablement Pension (includes Constant Attendance Allowance), Housing Benefit, Income Support, Income Based Jobseekers Allowance, Income Related Employment and Support Allowance, State Pension Credit, War Disablement Pension (which includes Mobility Supplement or Constant Allowance).