Scottish and Southern announces price hike

There was a double whammy for British consumers today with two major household energy suppliers announcing price increases.

The first move today was made by E.ON and now, only hours later, rival Scottish and Southern Energy is following suit:

Scottish and Southern Energy puts prices up by 29% or £181 for gas and 19% or £78 for electricity from 25th August

Average household bill for a dual fuel Scottish and Southern Energy customer was £875 in January 2008, £1,006 before today's announcement and will go up to £1,259 on 25th August - an increase of 44% or £384 since the beginning of the year

Scottish and Southern Energy's previous increase of 15.8% or £85 for gas and 14.2% or £50 for electricity made on 1st April 2008

It is the fourth supplier to increase prices twice this year.

Tim Wolfenden, Head of Home Services at uSwitch.com, says: "Today's double whammy on energy price rises will send consumers reeling. Soaring energy bills pose a huge threat to our standard of living - gas and electricity are essential commodities which have now become a luxury that many can no longer afford.

"But, the biggest question now is what is going to happen to household energy bills in the future. Unfortunately, today's news of a key gas pipeline being shut and wholesale gas prices increasing as a result does not bode well - however you look at it, today is a bad news day for consumers.

"Consumers are going to have to adjust quickly and there are two key steps to this - making sure we pay the lowest possible price for our energy and learning to use less of it. Consumers should look to pay by direct debit and move to an online plan where possible to get the best available prices and limit the impact of spiralling energy bills."