British Gas response to Ed Davey's letter to Ofgem
British Gas is part of the British-based, global energy company Centrica.
A statement from Chris Weston, MD, British Gas:
“Britain has one of the most competitive energy markets in the world, with gas and electricity prices among the lowest in western Europe. Around 80 per cent of British Gas customers have switched their tariff or supplier at least once.
"About two thirds of British Gas customers are dual fuel customers, taking both gas and electricity, and the price of the gas is the same for all customers whether they are a gas-only customer or on a dual fuel tariff. In the energy market as a whole, 84% of all gas customers are on a dual fuel deal. British Gas’ profit margins are on average 5% after tax.
“Our parent company Centrica does more than any other organisation to secure gas and power for British customers, with commitments totalling more than £60 billion, and we can only shoulder responsibilities on this scale if we are a profitable business. In the last 6 years we have invested £1.85 for every £1 earned. We also support jobs and growth in the UK, directly employing more than 30,000 people. Our annual tax bill is around £1 billion, making us one of Britain’s biggest corporate tax-payers.
"The current assessment of the energy market will be essential to rebuilding trust in the sector. We strongly support a proper, thorough and independent examination of the issues during this process."
Enquiries
British Gas media relations: 0800 107 7015
Centrica media relations:
Greg Wood 07769 541135
Sophie Fitton 07557 610485