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Centrica boss donates bonus to charity

The move comes as the British public’s trust in energy companies reaches an ‘all time low’

Laidlaw has described the decision to give up his bonus as a 'personal' choice

Laidlaw has described the decision to give up his bonus as a ‘personal’ choice

Sam Laidlaw, head of Centrica, the company which owns British Gas, has said he won’t be accepting his bonus this year.

The move follows British Gas’ announcement of a 9.2% gas and electricity price rise, which is set to be implemented on the 23 November and will affect an estimated 8 million households.

Energy firms should not ‘assume it is business as normal’

In a speech at the annual CBI conference, Laidlaw emphasized the need for leadership in the energy industry.

“Just to continue in this world where households are under pressure, and assume it is business as normal, is not the way thoughtful remuneration committees think about it,” he said.

“We are listening – we get it, absolutely. We know there is a problem.”

The Independent reports that last year Laidlaw received a total of £4.95m, which was made up of just under £1 million in basic pay, £1 million in bonuses and £2.6m in share schemes. He also donated a yacht to charity ‘Toe in the Water’.

When asked if other board senior executives would give up their bonuses, Laidlaw explained that his decision was personal.

‘We do not have a market we can trust’

Caroline Flint, the shadow energy secretary, welcomed the move and called for other big six bosses to do the same: “They should all reflect on what they are being paid not just this year, but in previous years and future years”.

“At present we do not have a market we can trust. They generate energy. They are wholesalers and retailers. They sell it to themselves before they sell it to us”.

Flint also reiterated Labour’s pledge to freeze energy prices for 20 months should the party be elected at the next general election. She added that the move would help break up the big six and create a more transparent energy market.

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  • peter

    Give it back to the customers. Its their money.

  • Nirosh

    So is this means if you are planning to apply for a morgate you get a higher rate ?


  • Neville Sheldon

    I thought Quantitative Easing had ceased, in which the BOE supply the banks with low interest rate money. Therefore, the banks do not need savers’ money and savings rates remain derisory. I have experienced base rate rises over many years and savings rates never increased. If some institutions do increase savings rates, these will be so small and ludicrous.

  • Kapa Enterprises

    OK so a good move for savers, which are greatly outnumbered by borrowers, hence lower increases in savings interest.
    But what about the economy, many small and medium businesses are struggling with increasing overheads and utilities, now they are going to be hit with higher borrowing and mortgage costs, are they trying to cause another crash?