From 21 June 2017 dual fuel Direct Debit prices will increase by 7.2%, gas prices will increase by 5.5%, while electricity prices will increase by 9%(1). 55% percent of our customers that have chosen fixed deals or who have prepayment meters are unaffected by this change. What’s more, these changes will still leave EDF Energy with the lowest variable gas price of all the major suppliers(2).
EDF Energy, along with other suppliers, has faced a range of rising costs for some time, particularly in both wholesale energy and non-wholesale energy costs and obligations. We held off passing on these costs during winter, when energy usage was at its highest, by freezing our electricity prices until March 2017 and reducing our gas prices. This was our third reduction in two years and because we’ve delayed the price rise until the summer, variable gas customers have saved £16m since January – the equivalent of £20 per household(3).
However, we have a responsibility to strengthen our business for the benefit of our customers. This increase allows us to invest in innovation and smart metering, as well as supporting our initiatives to get more customers to fix their prices. It also helps us continue to provide a good service. Recently, we were given a five star rating for having fewer than 50 complaints to third parties per 100,000 customers from the Citizens Advice Bureau(4).
We’re working to help customers better understand the energy market and will continue to offer competitive fixed-price alternatives. We’ve launched Blue+Heating Protect, a fixed three year tariff which comes with a year’s free boiler insurance worth £130 and no exit fees(5).
We’ve also committed to:
- Offer 67,000 vulnerable customers a rebate of £100(6) to help offset the impact of the price rise
- Donate £1m to the independently run EDF Energy Trust Fund to help provide additional support for customers who need it most
- Write to 680,000 customers who are not benefiting from paying by direct debit, making it easy for them to sign up, saving them 6.5 % or £80 a year(7)
- Write to all of our Standard (Variable) customers, offering to review their payment method, their tariff and provide free energy efficiency advice.
Again, it’s worth pointing out that 55% percent of customers who have chosen fixed deals or who have prepayment meters are unaffected by this change.
EDF Energy’s Personalised Support Service is a bespoke tool for vulnerable customers, helping them to choose the best tariff and payment method for their needs. It also provides debt advice, access to a Trust Fund, Benefits Entitlement Checks, and other specialised services to help those who need it most.