Electricity prices will rise by 7.8 per cent whilst gas prices increase by 3.8 per cent for customers with the green supplier from 14 November. The average increase of 5.7 per cent adds around £1 per week to customer’s bills, according to Ecotricity.
The company blamed the rise on cost increases from the grid operators and policy from government.
Ecotricity founder Dale Vince said: “Since April this year, we’ve been hit by a series of dramatic cost increases imposed on us by the grid operators, to use their networks, and by the government, to pay for their various energy-related schemes. One particularly egregious example of this is the government’s recent decision to impose a carbon tax on green energy.
“Together, these grid and government increases total about £20 million per year, and they’re forcing us to increase our prices for the first time in four years.”
Ecotricity said it has absorbed about half of the extra £20 million through greater efficiencies and further improving its app and online account.
Earlier this year, Ecotricity announced cuts to its gas prices of 7 per cent from 1 April.