Power firm EDF Energy finally joined the price war in the sector today after slashing gas bills for customers by more than 10 per cent.
French-owned EDF said that the move, which comes into effect on 15 June, would cut the average duel fuel customer’s bill by £63 a year to £907.
EDF‘s announcement means that Scottish Power is now the only firm among the ‘big six’ energy companies not to cut prices since British Gas slashed bills in February on the back of cheaper wholesale gas prices.
But EDF will not reduce its electricity prices, claiming its electricity bills had the smallest price rises compared with competitors last year.
EDF and Scottish Power were criticised by energy regulator Ofgem last week, which said their prices were lagging behind cheaper rivals.
Ofgem said the average customer could save £122 a year by deserting EDF Energy for cheaper power companies.
British Gas cut prices for a second time last week, while the remaining ‘big six’ firms – Npower, Powergen, and Scottish & Southern Energy – have also unveiled cheaper rates. Npower and Powergen’s cheaper tariffs come into force today.
EDF Energy chief executive Vincent de Rivaz described the cut as a ‘sensible move’.
He said: ‘We listen very carefully to what our customers are telling us. Over recent years our customers have benefited from our careful management which has protected them from the highest prices.’
EDF, which has 5.5 million UK customers, said the cuts would give it the second cheapest average bill behind Scottish & Southern Energy’s £873 a year.
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