Socialist Worker

Scottish Power: Our cash goes to rich firm

Issue No. 2256

Scottish Power is the latest energy company to announce price hikes.

It will raise gas prices by 19 percent and electricity by 10 percent from 1 August.

Is the company broke? No.

The Daily Telegraph revealed this week that the firm has so much “surplus liquidity” that it has lent £800 million to the US operations of Iberdrole, its parent company.

And Scottish Power made £1.2 billion profit last year.

But the firm has a history of ripping off ordinary people. In 2006 its profits rose by 95 percent—and it raised prices by 30 percent.

In 2008 it raised them by 40 percent—despite profits also rising that year.

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Tue 14 Jun 2011, 18:17 BST
Issue No. 2256
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