Ofgem under fire as Big Six profits surge by £1bn since 2009

The chief executive of UK energy regulator Ofgem, Andrew Wright, is to face interrogation by MPs today after it emerged that the combined earnings of the Big Six energy companies have increased by an astonishing five times, to more than £1bn since 2009.

Wright is to appear before the Commons Energy and Climate Change Committee.

Figures released yesterday show that the energy firms, E.ON, British Gas, EDF, npower, SSE and Scottish Power recorded earnings before interest and tax of £1.19bn in 2012, up from £221m just three years earlier in 2009.

The figures mean the firms pocketed an average of £53 profit from each UK home, a margin of 4.3%, up from £30 in 2011 at a margin of 2.8%, according to the London Evening Standard.

The news will fuel anger over recent price hikes that saw the Big Six raise prices by up to 10%. The firms attributed the hikes to rising wholesale prices, distribution costs and government imposed green taxes.

Now read this:

Get your business and talent recognised - enter the London Loves Talent Awards by 6 December


Judged by Tim Campbell, Will King, Terry Morgan CBE, Amit Bhatia, Matthew Hancock MP, June Sarpong & more

London Loves Talent Awards promo box for articles

Social Bookmarks