Parent company RWE reports a 34% increase in UK operating results for 2012
Energy giant npowers’ parent company RWE AG has announced bumper profits, reporting a 34% increase in UK operating results for last year. The rise in profits saw the corporation also increase group EBITDA by 10%.
The firm implemented price rises of 8.8% for gas and 9.1 % for electricity at the end of 2012, like all the major energy suppliers in the UK. They have stated however that the increase in profits was due to the colder than usual winter meaning there was a sharp increase in gas usage.
Reacting to the news, Mark Todd, director of price comparison service energyhelpline.com said, “Prices up and then profits up - it seems to be the same old story in the energy market. Today, consumers are dealing with yet more news of double digit profit from another major energy supplier. This is just months after being dealt the blow of further energy price hikes. With npower recording a 34% increase in operating profits for 2012, households will be left scratching their heads as to whether this winter’s price rise was really necessary.”
“There are only two ways to cut your energy bills – use less and pay less. To use less, homeowners need to take advantage of all the help they can, with cut-price insulation and other energy efficiency schemes. £100 of a typical annual dual fuel bill is collected by government as 'stealth taxes' , designed to fund these green initiatives. UK households are already paying for these schemes, whether or not they know it, so should be taking full advantage of all schemes on offer.
To pay less bill-payers need to switch regularly. This doesn't have to be an onerous task. By checking and comparing rates every two to three years using an independent switching service households can save hundreds and maintain low, competitive rates . The average UK home only switches every eight years and that’s one big reason why they end up paying so much.”
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