British Gas price hike slammed by watchdog

BRITISH GAS customers have been urged to “take back the power” and switch to a cheaper deal after a second price hike in the space of a few months.

The company will raise the cost of its standard variable tariff (SVT) by 3.8 per cent on October 1, meaning the average bill for 3.5 million existing dual fuel customers will increase by £44 to £1,205. It is the second hike this year for British Gas customers, after the company announced in April that it was increasing its prices by an average 5.5 per cent from May 29 for both its SVT and its new Temporary Tariff fixed-rate deal, which replaced the standard tariff. The company blamed the latest increase on a 20 per cent rise in the costs of buying wholesale energy since April – which has also seen increases for customers at E.ON, SSE, Npower and others.

Which? managing director of home products and services Alex Neill said the rise would be “infuriating” for customers, who have now seen bills hiked by an average of £104 in six months. She said: “They should take the power back into their own hands... simply by choosing a better deal. Before the energy price cap comes into effect later this year, customers still stuck on poor value standard tariffs should look to switch now.”

Citizens Advice chief executive Gillian Guy said those most likely to be on SVT – including the elderly and people on low incomes – will “particularly struggle to cope with yet another bill increase”.