The last two major energy suppliers in the market have cut their prices, following a huge reduction in wholesale costs.

Both suppliers have said in a press conference that the cut will be strategically starting from June 15th 2007.

EDF Energy will cut gas prices by 10.2%. Thought they are making this cut but the electricity bill prices will stay the same. This will, on an average, save EDF dual fuel customers £63 on a yearly basis.

On the other hand, Scottish Power has planned to reduce the gas bills by up to 16.5%, and electricity bills by up to 5.5%.

Scottish Power was the last of the ‘big six’ energy suppliers to announce a price cut. The announcements came after both EDF and Scottish Power were criticised by the industry regulator, last month, for failing to pass savings on to their customers.

Now that energy prices are falling, there are even bigger savings to be made from switching suppliers: There is still a huge discrepancy between the average annual dual fuel bills charged by the cheapest and most expensive suppliers. The reductions advertised by each supplier might look tempting enough for customers to stay put, but the actual cost of energy will vary from region to region.

Chris Eagle, Commercial Manager at www.energychoices.co.uk, commented: “We are disappointed with EDF’s price cut: not only have they left their electricity customers out of the deal, but they have decided not to reduce their online tariffs either. Suppliers should lead the way in encouraging online billing and passing their savings on, and it looks like EDF is doing the bare minimum. We recommend that customers shop around, and pay bills online by direct debit for the best savings.”

Sources: http://www.theopenpress.com

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