Npower is to axe 900 jobs and it blames the cuts on the energy price cap

The Big Six energy provider says the cuts will be made over the course of the year, although it couldn't tell The Sun which sector of the business will be affected or where in the country the biggest hit will be felt.

It says a consultation with affected staff will begin in early February.

Npower currently employs 6,300 staff and in 2018, just under 1,000 members of staff left of their own means.

The energy supplier said that while 900 roles are being made redundant, if positions come up elsewhere in the business then staff will be welcome to apply.

Npower blames the job cuts on an energy price cap that took force at the beginning of the year.

It says this is eating into profits, while the amount it makes on its fixed price tariffs has also been squeezed due to the competitive market place.

Paul Coffey, chief executive of Npower, said: "The retail energy market is incredibly tough.

"Ofgem itself forecasts that five of the ‘Big Six’ energy companies will make a loss or less than normal profits this year due to the implementation of the price cap.

"And with several recent failures of new energy suppliers, it is clear that many have been pricing at levels that are not sustainable.

"Even with these reductions, we still forecast significant losses this year, but we’re doing everything we can to minimise them whilst continuing to focus on service and value for our customers."

The energy price cap is currently set at £1,137-a-year for typical dual fuel customers paying by direct debit.

But experts have warned that "prices set to rocket by £113 this year".

Some energy firms have been ripping off households by charging more than the price cap for their fixed tariff deals.

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