A green energy supplier is encouraging struggling customers to switch away.
Ecotricity supplies more than 200,000 homes across the UK. However, unlike most other firms, its standard variable tariff is not limited by watchdog Ofgem’s price cap because its electricity comes from renewable sources.
Last week, the supplier wrote to customers to say the average annual bill would rise by £417 from £2,397 to £2,814.
This is £314 more expensive than a typical household protected by the Government’s new Energy Price Guarantee would pay.
Green energy: Ecotricity’s standard variable tariff is not limited by watchdog Ofgem’s price cap because its electricity comes from renewable sources
In an email sent to customers last week, Dale Vince, Ecotricity’s chief executive, suggested those who cannot afford the rise should move.
He said: ‘I would much prefer that anyone who may struggle to pay this extra amount leave us and move to a price-capped tariff with another supplier.’
Joe Malinowski, of comparison site The Energy Shop, says: ‘It does seem like Ecotricity is trying to pass on customers so they can be another firm’s problem.
‘The question is why it would do this when, as renewable power generators, it should be able to pass on profits to customers in savings.’
The supplier did not respond to requests for a comment.