Ovo Energy to shut five Scots bases amid job cuts

Ovo Energy's Perth office is set to close after the energy provider told UK staff it planned to cut a quarter of its workforce.

Staff have been told that 1,700 employees across the UK will lose their jobs through voluntary redundancy.

It is understood that about 700 people work in the Perth office.

Two bases in Edinburgh, one in Cumbernauld and another in Dunfermline will also close as it reduces its UK offices from 10 to three.

Only offices in Glasgow, Bristol and London will remain, while more employees will be supported to work from home.

Deputy First Minister John Swinney, who is also the local MSP, said he was seeking urgent talks with Ovo Energy to understand their decision.

Perth and North Perthshire MP Pete Wishart said he would also be "seeking answers" over the scale of job losses at the site.

He added: "This is bad news after all the commitments that were given to the workforce when they took over from SSE."

Mid Scotland and Fife MSP Murdo Fraser said the closure would be a "substantial blow to the Perthshire economy."

Elaine Dougall, of the Unite union, told BBC Radio Scotland's Drivetime programme, they had not been told how many jobs were at risk in Scotland.

She said the union was in discussions with Ovo Energy but employees were "in a state of shock".

"The way in which it was delivered via social media and the news was not the best way to learn that your job was potentially at threat."

The job cuts are understood to be linked to the company's acquisition of SSE's household energy business three years ago and the integration of the firm into Ovo.

In a letter to staff, Adrian Letts, the boss of Ovo's retail business, said: "Whilst it is regrettable to be reducing roles across the business and we understand this will be an uncertain time for many, we will fully support all our employees as this process develops over the coming months.

"We are engaging with our recognised trade unions to ensure all receive the right information and support."

The firm also said it would also create a new "Ovo Academy" in Glasgow which would create "new opportunities in the city that hosted COP26 for those who want to be at the forefront of the UK's green revolution."

About 1,000 call centre staff will be trained to become zero-carbon living advisers, with specialist knowledge of green home products and technologies from tariffs, to making homes more energy efficient.

It said it would also increase its basic wage to £12 an hour, a 15% rise on its previous pay rate.

In 2020 the company announced plans to close its operations in Glasgow's Waterloo Street and Selkirk.

The company had to apologise earlier this week after an email sent to customers advised them to keep their heating bills low by "having a cuddle with your pets" or eating bowls of porridge.