EDF raises prices for second time in 2017

French energy supplier EDF (EPA:EDF) have announced additional price hikes for UK customers on standard tariffs, marking the second time in a year that prices have risen for customers.

From 21 June, EDF are raising rates electricity rates 9 percent and gas prices by 5.5 percent. EDF have said the average customer will pay an additional £78 annually, bringing the yearly amount to £1,160.

This will be unwelcome news to EDF customers, who have already been hit by increases to their energy bills this year. Back in March, the supplier announced initially electricity price hikes by 8.4 percent.

“I know that price rises are never welcome, but the industry is facing significant cost increases,” said EDF’s chief executive, Vincent de Rivaz.

“To be a sustainable and responsible business, we aim to make a fair margin in supplying customers. This fair margin allows us to invest for the long term, in particular in good service, innovation and smart metering.”

This follows similar moves by other utility providers in recent months, who have been dealing with the pressure of rising energy prices. Companies such as E.On (OTCMKTS:EONGY) announced an yearly average top-up of £97 on bills, while npower also followed suit, announcing a 9.8 per cent rise. In addition, Scottish Power is also set to implement price rises of 7.8 per cent.

Nevertheless, the government has suggested that it remains committed to pursuing a crackdown on rising energy tariffs. At the Conservative spring party conference in Cardiff, Prime Minister May said:

“Energy is not a luxury,” she said. “It is a necessity of life. But it is clear to me – and to anyone who looks at it – that the market is not working as it should.”

She added: “The vast majority of consumers, especially those with the lowest incomes, are on the most expensive tariffs.”

“Relying on switching alone to keep prices down is clearly not working.” she said, as she pledged to introduce plans to intervene in the ‘inefficient’ energy market.

Thus far, British Gas has been the only provider that has yet to announce price hikes for its customers.

EDF have been involved in the creation of Britain’s first Nuclear power station since the 1990s, Hinkley Point C. Recently, the company announced significant progress with regards to the project, having constructed its first structures in Somerset.

Shares in EDF are currently down 0.29 percent as of 14.13PM (GMT).