The npower position
In its statement, npower pointed out that these were the first increases it had implemented since the autumn of 2013 and that only 50% of its customers – those on standard tariffs – would be affected.
It argued that it faces multiple cost pressures that have led to it needing to increase prices. Firstly, the price of energy on the wholesale market – essentially where npower buys the energy it then supplies have increased markedly – by 36% since last April.
The scheme to roll out smart energy meters in line with Government and EU requirements have also added expense, as have obligations under renewable energy policy – so plenty of reasons behind the prices rises, but what does it mean for you?