ScottishPower has announced plans to slash gas prices by 8% following other energy majors’ recent reductions.

The price drop, a result of reduction in wholesale prices in February 2009, will save £66 per year for its users effective from 31 March 2010.

ScottishPower Energy Retail director Raymond Jack said that typically less than 60% of a UK power bill is now based on wholesale costs.

“Investment, government obligations and the delivery of energy to the home make up a significant portion of our bills,” Jack said.

Jack also expressed the need for investment of over £200bn by the energy industry to ensure a modern and reliable low carbon electricity network in future.