Scottish and Southern Energy has announced price cuts.

Scottish and Southern Energy (SSE) has announced it is to reduce its customers’ electricity and gas prices by 9% and 4% respectively on 30 March 2009.

This will be the company’s first cut in prices since March 2007, although SSE was the last of the major energy suppliers to increase its prices in early 2008.

Alistair Phillips-Davies, SSE’s Energy Supply Director, said: “We know our customers want to understand what their energy is likely to cost in the future and that’s what lies behind today’s announcement.

“The UK now relies on energy imports and wholesale prices for electricity and gas are still at historically high levels. Against this background, companies need to be successful in fuel procurement, product development and customer service to deliver the best possible value for customers, and that’s what we work to deliver.”

British Gas has also announced gas price cuts for customers of up to 10% from 19 February, saving an average £84 on annual household gas bills. Phil Bentley, Managing Director of British Gas, commented: “Demand for gas is four times higher in winter than in summer. We buy gas months before it is used so we can make sure we always have enough for our customers, and can protect them from sudden rises in wholesale prices.

“The recent dispute between Russia and Ukraine demonstrates how important it is that we continue to do so, as it caused a sharp rise in wholesale prices which had fallen from last year’s peaks.”

According to SSE, gas and electricity prices are around 50% higher than in January 2007. While prices have fallen recently, it is anticipated that the cost of energy will increase again in the future.

The company supplies energy as Southern Electric, SWALEC, and Scottish Hydro Electric and Atlantic.