British Gas announce price rises of 9.2% - Gas and electricity - News - Moneyfacts


British Gas announce price rises of 9.2%

British Gas announce price rises of 9.2%

Category: Gas and electricity

Updated: 17/10/2013
First Published: 17/10/2013

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Customers of British Gas are set to see their dual-fuel energy bills rise by an average of 9.2%, it was announced this morning.

The news comes in the wake of SSE announcing an 8.2% increase last week, making British Gas the second of the big six energy companies to reveal pre-winter price hikes.

Nearly 8 million households are set to be affected by the increase, which include an 8.4% rise in gas prices and a 10.4% rise in electricity, which could see the average annual dual-fuel bill go up by as much as £123. As with SSE, the higher rates are said to be due to a combination of the increasing cost of buying wholesale energy and delivering it to customers, as well as the cost of various Government "green" levies.

Ian Peters, managing director of British Gas Residential Energy, has said it isn't a decision that's been taken lightly and that the company "understands the frustrations" of bills rising faster that incomes, but says that "what is pushing up energy prices at the moment are costs that are not all directly under our control."

Energy minister Ed Davey has described the latest rise as "extremely disappointing" and suggested that consumers should consider switching energy suppliers. But, with the domino effect already beginning, they need to do it quickly.

Mark Todd, director of price comparison service energyhelpline, agrees, and urges consumers to switch to a low-cost fixed-rate tariff. He says:

"This is devastating news for energy customers. The hike is at the higher end of expectations and more than SSE's.

"The price rise dam has now truly burst and more major suppliers, including the others in the Big Six group, are likely to follow suit.

"Only you can make a difference, by switching to a low cost fix - though now you probably have literally days to do it.

"Customers can defend themselves by being savvy and switching. Being loyal is unlikely to pay. No one else will fight for you; if you want cheap energy you need to compare prices and fix, and you need to do it now."

What Next?

Check out the latest fixed rate energy tariffs
Switch and save

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

British Gas freezes standard energy tariffs

British Gas has announced that it’s freezing its standard gas and electricity tariffs for the winter, ensuring that customers needn’t worry about price rises in the chilly months ahead. But is that enough to ensure households aren’t paying too much?

Living in a new home could cut fuel bills by half

Older homes will always be slightly more expensive to heat, with less insulation and sneaky draughts making these character-filled homes harder to heat efficiently. But did you know just how much more this could cost you? It could be double…

Standard energy tariffs are “fundamentally unfair”

We all know how expensive energy bills can be, particularly at this time of year when we’re all turning the thermostat up a notch. But what if you’re paying even more than you should be? If you’re on a standard tariff, that’s a very real possibility.