EDF announce plans to cut gas bills by 5%

 

One of the UK's major energy suppliers offered a glimmer of hope for cash-strapped households today by announcing a cut in tariffs.

EDF Energy increased its gas bills by 15.4% in November but said it would now cut them by 5% after a 9.2% decline in the one-year wholesale gas price.

The move follows speculation over the weekend that British Gas owner Centrica was considering a 10% reduction in households energy bills.

EDF said it was the last of the major suppliers to raise its energy prices in the autumn and is the first to announce a cut.

Chief executive Vincent de Rivaz said: “What customers want more than anything else is fair, clear and transparent prices.

“We know they want action rather than words. That is why we are the first major supplier to announce a cut and were the last to increase prices.”

The move comes on the day that an annual energy company satisfaction survey carried out by Which? showed that EDF finished second bottom in a table of the biggest six energy suppliers. Only 43% of its customers said they were satisfied with the company's service or likely to recommend it to others.

The result comes after the introduction of a new billing system led to a surge in complaints from customers.

EDF said an average dual fuel bill customer with typical consumption paying by monthly direct debit will face a bill of £1,137 a year, compared with the current figure of £1,218 a year for British Gas.

The cut in prices, which will be introduced on February 7, comes after several years of price hikes by EDF.

Last November the supplier increased its tariffs for gas by 15.4% after a previous 6.5% rise in February the same year.

It also increased prices in 2008, by 12.9% in January and 22% in July, and in 2006 it brought bills up by 14.7% in February and 19% in July.

Previous price cuts took place in July 2007, by 10.2%, and March 2010, when they went down by 4%.

Commenting on today's move, Which? executive director Richard Lloyd said: “This gas price cut will be welcome news for millions of consumers with already squeezed household budgets. But it follows a hike of 15% last November.

“Now the pressure is on for the rest of the major suppliers to follow suit. But as our survey today shows, there remain huge problems with customer service in energy as well as high prices.”

PA

Start your day with The Independent, sign up for daily news emails
  • Get to the point
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Financial Adviser

£20000 - £60000 per annum: Recruitment Genius: Are you recently QCA Level 4 qu...

SThree: Graduate Recruitment Resourcer

£20000 - £22500 per annum + OTE £30K: SThree: SThree Group have been well esta...

Guru Careers: Application Support Analyst / 1st Line Support

£25 - 30k: Guru Careers: We are seeking an Application Support Analyst / 1st L...

Guru Careers: .NET Developer / Web Developer

£45K - £55K (DOE) + Benefits: Guru Careers: We are seeking a full stack .NET D...

Day In a Page

Not even the 'putrid throat' could stop the Ross Poldark swoon-fest'

Not even the 'putrid throat' could stop the Ross Poldark swoon-fest'

How a costume drama became a Sunday night staple
Miliband promises no stamp duty for first-time buyers as he pushes Tories on housing

Miliband promises no stamp duty for first-time buyers

Labour leader pushes Tories on housing
Aviation history is littered with grand failures - from the the Bristol Brabazon to Concorde - but what went wrong with the SuperJumbo?

Aviation history is littered with grand failures

But what went wrong with the SuperJumbo?
Fear of Putin, Islamists and immigration is giving rise to a new generation of Soviet-style 'iron curtains' right across Europe

Fortress Europe?

Fear of Putin, Islamists and immigration is giving rise to a new generation of 'iron curtains'
Never mind what you're wearing, it's what you're reclining on

Never mind what you're wearing

It's what you're reclining on that matters
General Election 2015: Chuka Umunna on the benefits of immigration, humility – and his leader Ed Miliband

Chuka Umunna: A virus of racism runs through Ukip

The shadow business secretary on the benefits of immigration, humility – and his leader Ed Miliband
Yemen crisis: This exotic war will soon become Europe's problem

Yemen's exotic war will soon affect Europe

Terrorism and boatloads of desperate migrants will be the outcome of the Saudi air campaign, says Patrick Cockburn
Marginal Streets project aims to document voters in the run-up to the General Election

Marginal Streets project documents voters

Independent photographers Joseph Fox and Orlando Gili are uploading two portraits of constituents to their website for each day of the campaign
Game of Thrones: Visit the real-life kingdom of Westeros to see where violent history ends and telly tourism begins

The real-life kingdom of Westeros

Is there something a little uncomfortable about Game of Thrones shooting in Northern Ireland?
How to survive a social-media mauling, by the tough women of Twitter

How to survive a Twitter mauling

Mary Beard, Caroline Criado-Perez, Louise Mensch, Bunny La Roche and Courtney Barrasford reveal how to trounce the trolls
Gallipoli centenary: At dawn, the young remember the young who perished in one of the First World War's bloodiest battles

At dawn, the young remember the young

A century ago, soldiers of the Empire – many no more than boys – spilt on to Gallipoli’s beaches. On this 100th Anzac Day, there are personal, poetic tributes to their sacrifice
Dissent is slowly building against the billions spent on presidential campaigns – even among politicians themselves

Follow the money as never before

Dissent is slowly building against the billions spent on presidential campaigns – even among politicians themselves, reports Rupert Cornwell
Samuel West interview: The actor and director on austerity, unionisation, and not mentioning his famous parents

Samuel West interview

The actor and director on austerity, unionisation, and not mentioning his famous parents
General Election 2015: Imagine if the leading political parties were fashion labels

Imagine if the leading political parties were fashion labels

Fashion editor, Alexander Fury, on what the leaders' appearances tell us about them
Phumzile Mlambo-Ngcuka: Home can be the unsafest place for women

Phumzile Mlambo-Ngcuka: Home can be the unsafest place for women

The architect of the HeForShe movement and head of UN Women on the world's failure to combat domestic violence