Energy News

British Gas cuts electricity prices by 10%

Thursday 7 May, 2009

By becca.talbot@consumerchoices.co.uk

Energy giant British Gas has surprised the market by cutting its standard tariff electricity prices by 10%.

British Gas (www.britishgas.co.uk), the UK’s biggest energy supplier, has reduced its standard tariff electricity prices by 10%.

The reduction, which will come in with immediate effect, will save 4.5 million customers an average of £43 a year on their energy bills.

The energy supplier claims the price cut makes British Gas, “on average, the cheapest electricity supplier in Britain.”

British Gas cut its gas prices, also by 10%, on 19 February this year, benefitting more than seven million households, it said.

Phil Bentley, managing director of British Gas said: “I’m pleased we are now able to cut an average 10% from our standard electricity prices and continue to help our customers during this economic downturn.”

All British Gas electricity customers on standard tariffs - including those with prepayment meters - will see the benefit of the price cut, however customers with fixed price energy tariffs, such as WebSaver 2 and WebSaver 3 will not save any money on their electricity bills as a result of this move.

Chris Eagle, commercial manager at EnergyChoices.co.uk said: “Any price cut is welcome news, with over 4.5 million customer benefiting immediately from the cut.”

“In the light of the recent price changes, and in particular if your household is on a standard energy tariff, it may be worth comparing energy prices to see if you could save money on your bills by switching to a cheaper deal,” he added.

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