Energy supplier Co-op Energy has announced an 8.7% rise for its gas and electricity prices today for new customers – making it more expensive than the ‘Big Six’ firms.
The move means an additional £101 to its current price, making the average dual fuel bill around £1,258 a year.
The news follows its previous announcement of a 2% price cut late last year for the winter on the same day British Gas put its tariffs up by 6%.
Co-op Energy said the increase is due to the “rising cost of transporting energy” and assured existing customers will not be affected by it. The supplier added it will be “competitively priced against the big suppliers’ standard tariffs” although according to price comparison site uSwitch.com, it has fallen to the bottom of the “best buy” tables.
Tom Lyon, energy expert at uSwitch.com said: “Today’s move will be a blow as it has been offering consumers a great alternative to the traditional Big Six while still being a brand that consumers know and trust. However, true to its word, this price hike will not affect existing customers but it will hamper its ability to attract new customers any time soon. Hopefully this will just be a short-term blip as it is good for consumers and for the market to see a wide-range of suppliers competing hard.”