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British Gas price changes in 2020

British Gas price changes in 2020

Find out how British Gas energy prices have changed in 2020 and what it means for you.

Switch energy for a chance to win

Run an energy comparison and switch before 12 February for a chance to win one of 10 prizes of up to £1,320 towards your energy bills (T&Cs apply).

In August 2020, British Gas announced it would be cutting the average price of its standard variable or default tariffs by approximately 7%. This price cut came into effect in October 2020 and was in reaction to a cut in Ofgem's price cap level.

The latest price change meant an average £84 price cut for customers on British Gas' default tariff, bringing the average bill to £1,041 per year.

In February 2020, British Gas announced a price drop of around 2% for customers on its standard variable tariffs, also to match the falling price cap. This brought down the average bill for these customers by £19 per year.

British Gas reduced its prices to an average of £1,158 — £3 lower than the maximum allowed under the new price cap level.

In August 2019, British Gas followed the price cap by reducing the cost of its standard tariff by 6%. This brought the average bill for British Gas Standard customers to £1,177 from 1 October, when the rates came into force.

This followed a price rise in February 2019, when the supplier announced a 10% price rise that came into effect 1 April 2019.

This price rise affected dual fuel customers on standard variable rate tariffs — around 3.9 million households. This made British Gas's standard tariff £324 more expensive than the cheapest energy deal currently on the market.

British Gas was the fourth of the big six energy suppliers to announce a price rise in February 2019, after Ofgem announced an increase to its energy price cap rate.

The price change increased rates to match the new cap rate of £1,254, a hike of £119 for British Gas customers.

Commenting on that price rise announcement, Richard Neudegg, Head of Regulation at Uswitch, said: "British Gas's confirmation that it is hiking bills up to the maximum permitted by the price cap should surprise no one, but that doesn't mean their customers should fall for the price cap trap.

"Bill payers on standard tariffs cannot be 'protected' by a cap that will change every six months — these customers sit at the mercy of a spreadsheet."

Switch energy for a chance to win

Run an energy comparison and switch before 12 February for a chance to win one of 10 prizes of up to £1,320 towards your energy bills (T&Cs apply).

Previous price rises from British Gas

British Gas announced a 3.8% price rise in August 2018 — the second price increase to its standard variable tariff that year. The increase affected British Gas standard variable rate tariff customers' bills by £44 per year on average and took effect 1 Oct 2018.

British Gas was the first big six supplier to announce a price rise in April 2018, and stated that further rising wholesale costs caused the subsequent increase.

In total, the two British Gas price rises added £104 to its customers' bills in 2018.

  • Read the Transcript

    British Gas have announced that they’re putting a price rise on their standard variable tariff. And, this follows the raft of price rises that we saw at the beginning of this year from all of the other big six energy suppliers.

    Unlike them, British Gas held off that price rise for six months. However, it’s really important that their customers don’t get lulled into a false sense of security by this.

    Standard variable tariffs are some of the most expensive tariffs in the market, and you can save up to £618 by switching from them.

    Unfortunately, the energy industry is one where loyalty just doesn’t pay, you really have to be making an active choice to get a good deal.

In August 2017, British Gas announced a price of 12.5% for electricity customers, a rise of £76 per year on average.

"A body blow for consumers"

“With these hikes set to kick in just before the winter, this is a body blow for consumers," stated Claire Osborne, Uswitch energy expert, at the time of the 2017 announcement. "At a time when living costs are rising faster than wages, this hike could push many families into the red. Customers should not be lulled into a false sense of security.

“It’s time to switch supplier and send a message that price rises like these just aren’t acceptable. Seven in ten households are overpaying for their energy on expensive standard tariffs, yet within ten minutes they could switch and save hundreds of pounds – as well as protect themselves against further hikes by fixing their tariff.”

See more information about British Gas, including British Gas price change history, customer satisfaction reviews and where their average bill costs ranks among the big six on Uswitch's dedicated British Gas supplier page.

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