British Gas first to slash prices

Over recent years, and particularly last year, consumers in the UK have had to put up with massive rises in the cost of their gas and electricity bills, with suppliers pushing up prices to extortionate levels leaving many struggling to pay their energy bills and having to be really careful about the energy that they used even in the cold weather. However, many consumers will now see the light at the end of the tunnel, as one of the biggest UK energy suppliers announces substantial reductions to energy prices, which will be applied soon.

British Gas is the first supplier to announce its reductions in gas and electricity prices, and has stated that tariffs will be cut by seventeen percent for gas and eleven percent for electricity. This will give the average dual fuel consumer a saving of around fifteen percent on their annual bills, which equates to an average of around one hundred and sixty seven pounds. Other major companies are now expected to follow suit, with Powergen already announcing its plans to apply reductions in the near future.

After a number of price hikes over recent years, the forthcoming price reductions will prove welcome news for consumers in the UK, many of whom have suffered from what has become known as fuel poverty as a result of the rocketing prices of gas and electricity. British Gas said that the reductions will be applied towards the middle of March this year. The reductions have come about as a result of decreases in wholesale energy prices, although there has been some criticism that energy suppliers have been slow to pass on the decreased prices to consumers.

Powergen, which claims that its dual fuel customers pay around ten percent less than British Gas duel fuel customers, has stated: 'We will shortly announce a reduction in the price that domestic customers pay.'