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Sandra warns Scottish Power against price rises |
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Wednesday, 24 May 2006 |
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Sandra White MSP has strongly condemned reports that Scottish Power are warning of yet more price rises. The company have said that further tariff rises will be unavoidable in the short-term given continuing high wholesale prices. They recently revealed a 47% increase in annual profits. The company has twice raised prices in recent months, increasing electricity rates by 8% and gas rates by 15% in March. The moves followed rises of between 5% and 8% for electricity and 12% for gas last October.
Sandra said: "This is completely unacceptable. Scottish Power makes approximately £135 a year profit from everyone of its 5 million customers. While it is posting pre tax profits of £675 million many thousands of people in Glasgow are on or below the breadline.
"As usual it will be the poor who are hit hardest as they have to pay a higher proportion of their income on heating and lighting their homes. And Glasgow, with 8 out of 10 of some of the most deprived areas in Britain is going to be right at the forefront.
"Perhaps Philip Bowman (Scottish Power's chief executive) will accompany me on a tour of Glasgow and I will introduce him to some of our elderly who already have to decide whether to eat or put the fire on. Maybe he could look them in the eye and explain where the £675 million profits last year came from. Perhaps he could also detail the amounts which are being given to shareholders.
"These warnings of price rises are creating a great deal of worry in Glasgow and Scottish Power really has to look at itself"
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