Scottish and Southern Energy announces 4% price cut

Despite the fact that Scottish & Southern Energy, which supplies gas and electric to 10,000,000 families in the UK, has announced a 4% reduction in gas charges it has incurred the wrath of many consumer associations. This equates to a £30 a year reduction in gas bills although the move will not come in until 29 March which signifies the end of the winter period.

While there have been a number of tweaks to the pricing system of Scottish & Southern Energy, with prepayment meter charges reduced there has been an increase in the fixed charge element of some billing formats. Even though the move will be welcomed by those families supplied by Scottish & Southern Energy it does pale into insignificance compared to the 7% reduction in gas prices by British Gas just last month.

There had been high hopes that political pressure in the run-up to the general election would see "fairer" gas and electricity price reductions although these hopes are now beginning to flounder. Even though wholesale gas and electricity prices have fallen over the last year it seems that consumers have yet to feel the real benefit and are still struggling to meet their every day bills.