Connect with us

Hi, what are you looking for?

World News

British Gas to increase energy bills by £97 a year for millions

Millions of British Gas customers will be asked to pay almost £100 a year more for their gas and electricity after the regulator lifted its cap on energy bills.

The UK’s biggest energy supplier confirmed that it would raise the price of its standard variable energy tariff by £97 a year, less than a fortnight after Ofgem said it would lift the cap to an annual average of £1,138 for a dual fuel bill.

British Gas is the first major energy supplier to act following the energy cap rise, which is expected to impact 2.3 million of its customers who use the default energy tariff, and net the energy company almost £230m in extra revenues.

A British Gas spokesman confirmed the price hike would be set to the maximum level allowed by the regulator. Other major energy suppliers are expected to follow British Gas by raising bills for up to 11m households on standard energy tariffs.

The suppliers have been given the opportunity to raise their tariff prices by Ofgem which sets the upper limit for the average default energy bill based on the costs of supplying energy. A surge in global energy commodity prices has raised the cost of sourcing gas from the wholesale market, leading to a higher cap.

Ofgem’s price increase also includes a £23 hike to help suppliers such as British Gas claim back the cash they have missed because of unpaid bills during the coronavirus pandemic. It said the allowance would help energy suppliers to offer payment plans or emergency financial help to protect their customers – especially those in vulnerable circumstances.

Energy suppliers are still allowed to chase customers for unpaid debts using debt collectors.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Uncategorized

Neque porro quisquam est, qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non numquam eius modi tempora incidunt.

Uncategorized

Nemo enim ipsam voluptatem quia voluptas sit aspernatur aut odit aut fugit, sed quia consequuntur magni dolores eos qui ratione.

Uncategorized

Quis autem vel eum iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel illum qui dolorem eum.

Uncategorized

Neque porro quisquam est, qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non numquam eius modi tempora.

Disclaimer: Buzzclever.com it's managers and its employees (collectively "The Company") do not make any guarantee or warranty about what is advertised or above. Information provided by this website is for research purposes only and should not be considered as personalized financial or health advice. Copyright © 2021 Buzz Clever. All Rights Reserved