SSE loses 230,000 customers in first quarter

SSE, one of the UK's 'big six' energy suppliers, lost another 230,000 customers in the first quarter as people voted with their feet in the wake of price rises and also warned of a fall in adjusted earnings per share (EPS).

The company said the domestic energy market remained “highly competitive” as it unveiled the fall in accounts across the UK and Ireland in a trading update ahead of its annual meeting in Scotland on Thursday.

"As expected, 2017/18 is presenting a number of complex challenges to manage,” said chief executive Alistair Phillips-Davies.

“There continues to be significant change across the energy sector, but also opportunities for responsibly-minded businesses to contribute positively to its direction in the interests of customers and investors alike.”

Earlier this year the government pledged a cap on energy tariffs as part of its bid to woo voters ahead of June's snap election and riding on a wave of public anger as SSE hiked prices.

The proposal has since been weakened significantly after lobbying by the industry and Phillips-Davies said SSE would “engage constructively” in moves to create “a smarter, fairer, and more competitive energy market”.

“SSE believes that competition should be at the heart of the retail energy market and in line with that promotes a range of tariffs, products and services.”

The company added that dividend cover in 2017/18 would be at the lower end of its expected range of 1.2 to 1.4 times, which means adjusted earnings per share was "likely to be lower" than 2016/17.