British Gas cuts standard gas prices by an average 7%

British Gas, the largest residential energy supplier in Britain, has today cut its standard gas prices by an average 7%

The price cut, which will benefit 8 million households, takes effect immediately and makes British Gas, on average, the cheapest supplier of standard gas and electricity right across Britain - no matter which way customers choose to pay. The change will save the average gas customer £55 a year.

This is the third time British Gas has cut prices in the past 12 months - cutting a total of £187 off the average annual dual fuel bill.

Last year, the company cut both standard gas and electricity prices by an average 10%. The electricity price reduction in May 2009 made British Gas on average the cheapest supplier of standard electricity across Britain; it has remained unchallenged by any major supplier in this position ever since.Today's price cut means the company is now also the cheapest major supplier of standard gas at average consumption - and therefore of dual fuel - right across Britain.

Announcing the gas price cut, British Gas Managing Director, Phil Bentley, said:

"At British Gas, we know household budgets are stretched, and that our customers are concerned about the effect the recent cold weather will have on their winter fuel bills.

"I'm pleased we're able to offer our customers some extra help with this gas price cut - and that we're able to do this while it's still winter, allowing our customers to really feel the benefit.

"This latest price cut means that, no matter where you live in Britain, British Gas is offering on average the cheapest standard gas, electricity and dual fuel prices - beating all other major suppliers.

"But, at British Gas, we know that cutting prices is just part of the picture in helping our customers cut their fuel bills; we're also doing more than any other supplier to help our customers use less energy. As well as cutting prices three times in the past year, we have been helping our customers improve their energy efficiency and cut their energy use by 7%."

British Gas has also removed the price ‘differential' for gas pre-payment meter accounts. This means British Gas' pre-pay gas customers are now paying, on average, the same for their energy as customers who pay by cash or cheque. British Gas has, for some time, been working to become more efficient, improve customer service and cut costs for its pre-pay customers.



  1. British Gas cheapest comparisons are based on consumption of 20,500kWh for gas and 3,300kWh for single rate electricity as at 4 February 2010
  2. The 7% cut (£55) is based on standard tariff, rounded average across all regions and across Monthly Direct Debit, Pay As You Go Energy and Prompt Quarterly Cash/Cheque payment methods
  3. The total saving of £187 is for a dual fuel customer at average consumption