EDF to increase energy bills

EDF to increase energy bills

EDF Energy has become the second Big Six energy supplier to increase its standard variable tariff (SVT), which the French company said will affect 1.3 million customers.

The 1.4% increase will the average bill will go up to £1,158 a year, which EDF said reflects the increase in some of the fixed costs associated with providing electricity.

Earlier this week British Gas announced a 5.5% hike in its SVT as a result of rising wholesale and policy costs, which have come partly due to the government’s schemes to reduce carbon emissions.

EDF customers with a dual SVT, who pay by cash of cheque will see a combined increase of 2.3% to £1,248 a year.

In a statement, it said: “EDF Energy continues to face pressures with energy, policy and the costs of installing smart meters all increasing significantly since last summer.

“Ofgem found that costs have risen by an average of more than £57 over the previous six months when they reviewed and increased the level of the prepayment and safeguard tariff caps in February.”

Stephen Murray, energy expert at MoneySuperMarket, said: “Clearly the price rise from British Gas earlier this week has opened the floodgates and we’re now officially in price rise season.

“It’s fair to say the forthcoming energy price cap, even though it’s still months from being signed off and introduced, is looking like a key factor in this round of price rises.

“The Big Six suppliers know they have a short window to adjust prices upwards before the Government starts to enforce pricing legislation.”

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