Horrific British Gas price rises

12.11.00pm UTC (GMT +0000) Fri 17th Feb 2006

Millions of British Gas customers are facing higher bills after the firm raised its gas and electricity prices by 22%, blaming a sharp jump in wholesale energy costs for the increase.

"This is an appalling increase which will cause real pain to thousands of people," says Norman Lamb MP, Liberal Democrat Shadow Cabinet Member for Trade and Industry.

"According to DTI figures, an increase of this size means that by the end of this year more than 3 million households will be living in fuel poverty. Action to tackle anti-competitiveness in European energy markets is a start, but we also need to tackle market abuses which make it difficult for new providers to enter the UK energy markets."

Figures provided by energywatch show:

In 2003 the average British Gas bill for gas was £379, in 2004 it was £451, in 2005 it was £515. From March 1 it will be £628.

• British Gas is now Britain's most expensive gas supplier;

• British Gas is now Britain's most expensive electricity supplier too;

• British Gas bills for gas will rise by £113, on average, as a result of these price rises;

• British Gas has more gas customers than all other suppliers added together;

• British Gas customers could save up to £175 on their gas bill by switching to the cheapest supplier;

• British Gas has raised its gas price by £249 (70%) over the last three years; and

• British Gas will still give you their full central heating Homecare service even if you switch to another gas supplier.