EDF Energy announces second price rise for customers this year, blaming wholesale prices

Nicholas Earl
The prices rises are expected to raise average energy costs by £70 per year for some customers (Source: Getty)

EDF Energy is set to raise its standard variable dual fuel tariff prices by six per cent from the end of August, blaming the increased costs on a rise in wholesale prices.

These have increased by 18 per cent so far this year, and 13 per cent since April, the energy company said.

The news comes four months after EDF decided to raise the price of its standard bill by 1.4 per cent in June, due to rising fixed costs associated with supplying electricity.

EDF managing director of customers, Béatrice Bigois, encouraged those who wish to avoid these price changes to switch to one of the firm's fixed tariffs.

“We know that another price rise will not be welcome, and we had hoped that our limited changes announced in April would be enough. However, energy costs have continued to rise significantly and despite our best efforts to absorb some of these by reducing the costs within our control – sadly we can no longer sustain this. Customers who wish to avoid this increase will be encouraged to choose one of our fixed price tariffs when we write to them later this month.”

The move will affect all standard variable customers, who account for up to 40 per cent of the firm's customer base. Customers on a fixed price tariff, prepayment tariff or the safeguard tariff will not be impacted.

Read more: Now EDF Energy is raising electricity prices for millions of customers

Households affected by the increases will have to pay £1,228 per year, an average increase of £70. Standard variable electricity and gas tariffs will increase by 6.1 per cent and six per cent respectively.

This makes EDF's standard variable tariff the second most expensive of the 'big six' companies, with only Npower offering a pricier tariff.

These price hikes come after the government proposed a new law capping high energy tariffs by next winter.

Read more: EDF Energy to pay for missing smart meter installation target last year

Related articles