Following SSE’s price hike last week, British Gas has done the same with a 9.2 % rise on a dual fuel bill from 23 November. This means an 8.4% rise in gas prices and a 10.4% rise in electricity prices.
British Gas’s decision means that the price rise will affect eight million households. The decision comes after the energy company has said that buying energy on global markets and delivering the gas and electricity to their customers were all factors that added to the decision in the rise.
Ian Peters, the managing director of British Gas Residential Energy said “ I know these are difficult times for many customers and totally understand the frustration that so many households costs keep on rising when incomes are not keeping pace.” (BBC October 2013)
Centrica who own British Gas say that the rise will add about £2 a week to the average dual fuel bill. 500,000 of its elderly customers and those most in need would in fact be protected by the rise with a discount to prevent the price rise throughout winter.
This announcement has had a dramatic affect on shares to British Gas owner Centrica and last week to SSE, meaning that the combined two companies have had a loss of £2.7 billion off the value of the companies.
Energy efficiency is now one of the best ways to save money and for households to keep their energy bills down. It is encouraged to follow simple tips via Energy Switcheroo on how to do so.