Friday, 12 November 2010

British Gas to raise gas and electricity bills by 7%

British Gas customers will face a 7% rise in gas and electricity bills this
winter, the company has announced.

The increase, which comes into effect on 10 December, was the result of
rising wholesale prices, it said. The rise affects eight million customers, but the company added that its
300,000 most vulnerable customers would initially not be charged more.

British Gas has become the second major UK energy supplier to announce price
increases for the winter months.

It said that wholesale gas prices had risen by 25% since the spring.

"We know that rising energy prices come at a difficult time for many," said
British Gas managing director Phil Bentley.

The company said prices for those on a typical dual-fuel deal would go up by
£1.50 a week.

Vulnerable customers on the "Essentials" package with British Gas will have
prices held until 1 April 2011.

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