London, Feb 17, 2026, 08:48 GMT — Regular session.
- The SSE bounced roughly 0.5% at the open, clawing back some ground after sliding 1.3% on Monday.
- The UK unemployment rate has climbed to 5.2%, with wage growth losing steam—pushing up expectations for a rate cut on March 19.
- Attention shifts to UK inflation numbers coming out Wednesday, Ofgem’s RIIO-3 licence verdict expected later this month, and SSE’s results slated for May 28.
SSE shares edged up 0.5% to 2,621 pence in early London trading Tuesday, clawing back some ground after a 1.3% slide on Monday. The stock’s been moving in a narrow band between 2,607 and 2,627 pence so far—just below the Feb 13 year-high of 2,645 pence.
UK rate-cut bets got a boost after new labour market data, and that helped fuel the bounce. For utilities, the direction of yields sometimes rivals company news in importance.
SSE occupies the rate-sensitive end of the market. Investors have a habit of viewing reliable dividend payers as “bond proxies” — stocks that tend to catch more attention when bond yields slip.
Britain’s jobless rate edged up to 5.2% on Tuesday, while wage growth cooled, figures that could push the Bank of England toward rate cuts. “Today’s data raises the prospect of the Bank of England resuming cutting interest rates in March,” said Yael Selfin, chief economist at KPMG UK. Reuters
According to a Reuters poll released Monday, most economists expect the Bank of England’s next move on March 19: a 25-basis-point trim in Bank Rate, or 0.25 percentage point. “We stick to our call for the next Bank Rate cut to come in March,” wrote Sanjay Raja, chief UK economist at Deutsche Bank. The poll also showed no consensus on when further cuts might arrive, with attention turning to January inflation numbers due out Wednesday. Reuters
UK 10-year gilt yields slipped to 4.38% on Feb 17, marking the lowest level since mid-January, according to Trading Economics data. Lower yields can give the sector a boost by making those future dividends more appealing.
SSE’s regulated networks arm remains tied to Ofgem’s RIIO-3 process, the upcoming framework that determines permitted returns and spending for major energy networks. Ofgem plans to announce its verdict on RIIO-3 licences in February, with the new control window beginning April 1.
The setup could shift fast. A stronger inflation reading or hawkish signals from the BoE might drive yields up and pressure rate-sensitive equities. On top of that, stricter regulatory terms would weigh on companies with long-dated earnings.
SSE’s next big dates? April 2 brings its closed-period notification, then preliminary results for the year to March 31 land on May 28. Those are the moments traders are watching for from SSE.
