£131 price hike hits British Gas customers this Friday
Price rise misery will hit almost 8 million British Gas customers this Friday (23rd November), says uSwitch.com. The country’s biggest energy supplier will increase its prices by 9.2% or £131 for gas and electricity, resulting in its average standard dual fuel bill soaring from £1,340 to £1,471 a year.
The increase follows a warning from the National Audit Office that energy and water bills will continue to soar for the next 17 years. British Gas is the second of the big six suppliers to implement a price hike this winter, following SSE last week (15th November).
Both suppliers have pointed to Government-imposed levies as being a driving factor behind the moves. Last week British Gas’ parent, Centrica, went further by saying that: “Energy suppliers and politicians both have a role to play in helping to minimise the impact of higher costs on bills and improving transparency to restore trust in the industry”. But while the Government is said to be planning to review these levies, no firm commitment has been made yet.
While the debate rumbles on, Britain is bracing itself for an artic freeze, due to hit this week according to forecasters. This will exacerbate the impact of higher prices and could lead to even more households going without heating in an attempt to keep a lid on costs.
Even before price rises were announced, over eight in ten households (83%) said that they would be rationing their energy use this winter to keep their bills down. Last winter, almost seven in ten households (69%) went without heating at some point to keep their energy costs down - over a third (35%) said that cutting back on their energy use was affecting their quality of life or health.
Ann Robinson, Director of Consumer Policy atuSwitch.com, says: “With winter’s first big freeze about to bite, this latest round of price hikes will leave many households worried about the cost of heating their home. Warmth is a basic necessity, yet sky-high prices will leave many families cutting back or turning off their heating completely. This will have a knock-on effect on health and well-being – quality of life will suffer for the very many who will be going cold.
“I would urge the Government to let consumers know as soon as possible whether they can expect a reduction to their bills any time soon and to also make it crystal clear that this will be applied to all tariffs across the board. This will provide some much-needed clarity and enable consumers to continue to shop around with confidence.
“With the high cost of energy this winter it’s vital that consumers take their own steps to cut their costs immediately. Firstly they should stop paying over the odds and switch to the most competitive deal for their needs. Secondly, they should look to make their homes more energy efficient as this will allow them to reduce the amount of energy they use without having to compromise on staying warm. Anything the Government delivers over and above is just the icing on the cake.”