British Gas cuts gas prices by around 7%

Domestic gas customers will see their gas bills cut by an average of 7%, courtesy of British Gas.

It is expected that the price reduction will benefit around eight million households and will take effect immediately.

Changes to the tariff will mean that the average gas and electricity customer will save around £55 a year on their annual bills.

British Gas Managing Director Phil Bentley said: "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."

He added that British Gas is now the cheapest supplier of gas and electricity on the market.

Ofgem Chief Executive Alistair Buchanan recently suggested that energy bills could increase by as much as 25% over the course of the next decade.

Posted by Martin Ellis